EPI Annual Report 2012 Cover FINAL DESIGN for mailEnglish).pdfMIssIon / VIsIon AnD oBJeCtIVes...

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42nd

Annual Report2011-2012

Contents

Page Nos.

Board of Directors 3

Reference Information 5

Five Years’ Performance at a Glance 6

Chairman’s Statement 7

Notice of Annual General Meeting 9

Directors’ Report 12

Corporate Governance Report 20

Management Discussions and Analysis Report 30

Auditors’ Report 35

Annexure to Auditor’s Report 37

Statement of Accounts 40

Comments of the Comptroller and Auditor General of India 72

MIssIon / VIsIon AnD oBJeCtIVes

MIssIon / VIsIon

To be leading turnkey Project Execution Company, committed to quality and timely completion of projects, continuously enhancing stakeholder value.

oBJeCtIVes

i) Focus and maintain business in its most profitablesegments while expanding into new business segments.

ii) Deliver exceptional client service with an unrelenting focus on value creation.

iii) Pursue operational excellence with a strong focus on quality and margins.

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BoArD of DIreCtors

Shri S P S BakshiChairman-cum-Managing Director

Dr. K.S. RaoIndependent Director

Shri Niraj KumarDirector, DHI

Shri A.K. VermaDirector (Finance)

Shri Vinoo GopalDirector (Projects)

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referenCe InforMAtIon

regIstereD offICe

Core 3, SCOPE Complex,7 Lodhi Road,New Delhi - 110 003.Phone No : 91-11-24361666Fax : 91-11-24363426E-mail : [email protected] : www.epi.gov.in

regIonAl offICes

EasternRegionalOffice-Kolkata50, Chowringhee Road,(8th & 9thfloors),Kolkata-700071Phone : 91-33- 22824426-27-29Fax : 91-33- 22824428E-mail : [email protected]

WesternRegionalOffice-Mumbai“Bakhtawar”, 6A, 6th Floor,Nariman Point, Mumbai–400021Phone : 91-22- 22027585, 22026347Fax : 91-22-22882177E-Mail : [email protected]

NorthernRegionalOffice-DelhiCore-3, 2nd Floor, SCOPE Complex, 7 Lodhi Road, NewDelhi–110003.Phone : 91-11-24361666Fax : 91-11-24368293E-mail : [email protected]

SouthernRegionalOffice-Chennai3D, East Coast Chambers,92, G.N Shetty Road, T. Nagar, Chennai - 600 017.Phone : 91- 44-28156886, 28156421,Fax : 91-44-28156629E-Mail : [email protected]

NorthEasternRegionalOfficeVastavcomplex(Istfloor)Tripura Road, Jaya Nagar, BeltolaGuwahati -781028Phone : 0361-2229982Fax : 0361-2229983E-mail : [email protected]

BAnkers (as on 31.03.2012)

Allahabad Bank Bank of BarodaCanara Bank HDFC Bank Corporation BankDena Bank IDBI Bank State Bank of IndiaState Bank of HyderabadSyndicate BankUnion Bank of IndiaIndusind BankICICI Bank

AuDItors

M/s.SatyendraJain&AssociatesD-1, 2nd Floor, Defence ColonyNew Delhi-110024

BrAnCh AuDItors

M/s.R.B.Jain&Associates108,ShyamKamal“C”BldgAgarwalMarketVileParle(East),Mumbai-400057Maharashtra

M/s.G.P.Agrawal&Co.Chartered Accountants7-AKiranShankarRayRoad,2ndFloorKolkata-700001West Bengal

M/s.PadmanabhanPrakash&Co.5, Smith RoadII FloorNorthern Wing, Chennai-600002Tamil Nadu

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fInAnCIAl PerforMAnCe of ePI of lAst 5 YeArs

` in lacs

Particulars/Years 2007-08 2008-09 2009-10 2010-11 2011-12

A. operating statisticsTurnover 85105.51 95870.53 106199.83 110368.72 90127.34

Other Income 2130.53 3079.91 2447.11 2490.07 3645.25

Total income (a) 87236.04 98950.44 108646.94 112858.79 93772.59

Total expenditure (b) 84866.95 96091.69 105606.30 110359.87 89416.13

GrossMargin(a-b) 2369.09 2858.75 3040.64 2498.92 4356.46

Interest 263.90 214.70 242.81 186.11 647.45

Depreciation 91.57 78.16 55.28 55.04 72.53

ProfitBeforeTax(PBT) 2013.62 2565.89 2742.55 2257.77 3636.46

IncomeTaxincludingFringeBenefitTax 260.43 322.34 (1258.80) 752.70 1189.04

ProfitafterTax(PAT) 1753.19 2243.55 4001.35 1505.07 2446.71

Dividend 708.45 708.45 708.45 708.45 708.45

Dividend Tax 136.18 120.40 117.67 114.93 114.93

Wealth Tax 0.08 Nil Nil Nil Nil

Retained Surplus 908.48 1414.70 3175.23 681.69 1623.33

No. of Employees 499 472 435 434 419

No. of Equity Shares 9094400 9094400 9094400 35422688 35422688

B. financial PositionShare Capital 3542.27 3542.27 3542.27 3542.27 3542.27

Reserve and Surplus 7235.82 8650.52 11825.75 12507.44 14130.76

Shareholder’s Fund 10778.09 12192.79 15368.02 16049.71 17673.03

Misc.expensestotheextentnotwrittenoff 0.00 0.00 0.00 0.00 0.00

Net Worth 10778.09 12192.79 15368.02 16049.71 17673.03

C. financial ratiosGrossmargin/Turnover% 2.78 2.98 2.86 2.26 4.83

ProfitBeforeTax(PBT)/Turnover% 2.37 2.68 2.58 2.05 4.03

ProfitBeforeTax(PBT)/Networth% 18.68 21.04 17.85 14.07 20.58

ProfitAfterTax(PAT)/Networth% 16.27 18.40 26.04 9.38 13.84

Turnover per Employee (` In lakhs) 170.55 203.12 244.14 254.31 215.10

Dividendpaid/Profitaftertax% 40.41 31.58 17.71 47.07 28.96

Dividendpaid/Profitbeforetax% 35.18 27.61 25.83 31.38 19.48

Earning per Share( in ` ) 19.28 24.67 44.00 4.25 6.91

Book Value Per Share of ` 38.95 each (in `) and ` 10/-forthefinancialyear2010-11

118.51 134.07 168.98 45.31 49.89

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ChAIrMAn’s stAteMent

Dear shareholders’

On behalf of the Board of Directors of EPI, I have a great pleasure in welcoming you all to the 42nd Annual GeneralMeetingofyourCompany.TheAnnualReportcontainingDirectors‘Report,AuditedAccounts,AuditorsReport and Company’s Reply thereon has already been circulated to the Shareholders and comments of CAG are placed before you and with your permission, I shall take them as read.

economic environment

Global Economy

After suffering a major setback during 2011, global prospects are gradually strengthening again, but downside risks remain elevated. Improved activity in the United States during second half of 2011 and better policies in the euro zone in response to its deepening economic crisis have reduced the threat of a sharp global slowdown. Still, the recovery in the developed countries has been generally slow, till a sustainable solution to the euro zone problem emerges.

Indian Economy

TheIndianeconomy’sperformancein2011-12toowasmarkedbyslowgrowth,highinflationandwideningfiscalandcurrentaccountgap.Theeconomygrewatitsslowestpaceinnineyearswithmining,manufacturingandconstructiondragginggrowthdown.Butdespitetheslowgrowthrateof6.9%,ourcountrywasabletostand next to China in achieving high growth rate over the last few years.

Infrastructure Sector

The performance of infrastructure sector during Eleventh Five Year Plan, has been remarkable as compared to the previous Five Year Plan, though there have been slippages in some sectors. The success in garnering private sector investment in infrastructure through the public-private partnership (PPP) route during the Plan has laid solid foundation for a substantial step in private-sector funding in coming years. During 12th Plan, an investment of over 1 trillion US Dollars to build the physical infrastructure in the Country has been envisaged. Such investment shall give great boost to employment opportunities.

Performance highlights

During the year, your Company has earned a gross margin of ` 43.57crores against the previous year gross margin of ` 24.99 crores from the turnover of ` 901.27 crores.

Further,netprofitbeforetaxearnedwas` 36.37croresagainstaprofitof` 22.58 crores during the previous year and as a result, book value per share rose to ` 49.89

Your Company has secured 12 projects valuing ` 1017.21 crores.

Dividend

YourDirectorshaverecommendedadividendof20%ofthepaid-upsharecapitaloftheCompanyfortheyear2011-12.

Performance under Mou

The performance of your Company was rated as “Very Good” for the year 2010-11 by the Department of PublicEnterprises(DPE)undertheMOUsignedwiththeGovernment.

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human resource

To ensure timely execution of the projects, Company has been focusing on augmentation of its manpower force. During the year 2011-12, Company has recruited persons with specialised skill at certain levels. The recruitmentdrivewas furtheressential to fulfil thegapcreatedbysuperannuationespeciallyat top levels.Besides augmentation of manpower, your Company has been taking initiatives for harnessing the inherent strength of its employees. In order to achieve this purpose, employees are being sponsored for in house and outside training programmes, seminars and workshops to enhance technical, communication and personal skills from time to time at various levels.

Corporate governance

In discharging the business responsibilities, due focus was on adherence of rules, regulation, transparency and disclosure. Your Company believes that these corporate governance practices in the long term lead to creation of wealth for all its stakeholders. Your Company has been complying with the Corporate Governance Guidelines issued by Department of Public Enterprise (DPE) and regularly submits the Compliance Report to Department of Heavy Industry (DHI) on quarterly basis.

Further, during the year, your Company has formulated Risk Management Policy in terms of CorporateGovernance Guidelines issued by DPE in order to identify, evaluate and mitigate risk surrounding the Company. Itsmainobjectiveistodefineaframeworkforidentification,evaluationandmitigationofrisk,toencouragepro-active rather than re-active management, provide assistance to and improve the quality of decision making throughout the organization.

Corporate social responsibility

While discharging the business responsibility, EPI was equally aware of Corporate Social Responsibility (CSR). Skill Development training was provided to unskilled youth in skills related to construction industry and to village women in sewing, tailoring and apparel designing. Beside Skill Development, focus was also on Community Development. Various programmes for Sanitation, Drinking Water, Solar Lights, Health Forming techniques were launched in Nalanda district, Bihar.

FortheinitiativesundertakeninthefieldofCSR,EPIwasawardedtheprestigious“GoldenPeacockAwardfor Corporate Social Responsibility 2012”.

future Plan

During the year 2011-12, EPI consolidated its operations and has been focussing its efforts on large sized projects and projects overseas. As a result of aggressive efforts put in last year, your Company was able to secureaPMCworkofCentralUniversity,Ranchifor` 900 Crores project. Further, Company is also putting its efforts to secure overseas projects.

Acknowledgement

I believe that any growth story is a result of contributions made by its Stakeholders and Supporters. In this reference,IsincerelyacknowledgethesupportextendedbyourShareholders,Customers/ClientsandGovt.ofIndia.Further,I‘mthankfulfortheconstructivesupportandguidancegivenbyourAuditors.Lastbutnottheleast, I wish to express special thanks to all employees of EPI to make this day happen.

(S P S Bakshi)Chairman-cum-ManagingDirector

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notICe

Notice is hereby given to all the Shareholders of Engineering Projects (India) Ltd. that the 42nd Annual General Meetingof theCompanywill beheldonFriday,28th September, 2012 at 5.00 p.m. at its Registered and CorporateOffice,Core3,SCOPEComplex,(4thFloor),7LodhiRoad,NewDelhi–110003totransactthefollowing business:

ordinary Business

1. To receive, consider and adopt the audited Balance Sheet of the Company as at 31stMarch2012andtheProfit&LossAccountfortheyearendedonthatdatetogetherwiththeReportsoftheDirectorsandAuditors thereon.

2. To declare dividend on equity shares.

3. ToappointaDirectorinplaceofDrK.S.Rao,whoretiresbyrotationandbeingeligible,offershimself for reappointment.

special Business

1. Appointment of Director

Toconsiderandifthoughtfit,topasswithorwithoutmodification(s),thefollowingOrdinaryresolution:

“RESOLVED that Shri Vinoo Gopal who was appointed as an Additional Director of the Company by the BoardofDirectorswitheffectfrom02.01.2012andwhoholdstheOfficeundersaidArticlesuptothedateofthisAnnualGeneralMeetingandiseligibleforreappointmentundertherelevantprovisionoftheCompaniesAct, 1956 and in respect of whom Company has received a notice in writing proposing his candidature for the OfficeofDirector,beandisherebyappointedasaDirectoroftheCompany.”

(KumudaniSharma)Company Secretary

NOTES:

1. A member of the Company entitled to attend and vote at the meeting is entitled to appoint a proxy to attend and vote instead of himself and the proxy need not be a member.

2. Nomination Form in duplicate is sent herewith to all members of the Company with a request to return thesamedulyfilled.

3. ShriVinooGopalwasappointedasDirector(Projects)oftheCompanyvideorderNo.16(9)/2011-TSWdated21.12.2011ofMinistryofHeavyIndustries&PublicEnterprises,DepartmentofHeavyIndustry(DHI). He assumed the charge on 02.01.2012.

4. ShriR.Asokan,Director,MinistryofHeavyIndustries&PublicEnterprisesceasedtobetheDirectoron the Board of the Company, vide his letter dated 14.06.2012 addressed to the Company Secretary, EPI consequent upon his transfer to National Pharmaceutical Pricing Authority (Department of Pharmaceutical,MinistryofChemical&Fertilizers).

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explanatory statement u/s 173(2) of the Companies Act, 1956 forming part of the notice

Item No. 1 – Appointment of Director

Shri VinooGopal is aCivil Engineer having rich experience in handlingMultidisciplinaryProjects both inIndia and abroad. He was appointed as Additional Director on the Board w.e.f 02.01.2012 consequent to his appointment as Director (Projects) by the Govt. of India. In terms of Article 68 read with Article 3 of Article of AssociationoftheCompany,heholdstheofficeasanAdditionalDirectoruptothedateofnextAnnualGeneralMeetingandiseligibleforreappointment.Hehasofferedhiscandidatureforreappointment.AnoticehasbeenreceivedproposinghiscandidaturefortheofficeofDirectorasrequiredbysection257oftheCompaniesAct,1956.

The Board recommends appointment of Shri Vinoo Gopal.

NoneoftheDirectorsexceptShriVinooGopalisinanyway,concerned/interestedintheaboveresolution.

To

All Shareholders of EPI

Copy to:

1. All Directors of EPI

2. Secretary to the Govt. of India, MinistryofHeavyIndustries&Public. Enterprises, (Deptt. of Heavy Industry) Udyog Bhawan, New Delhi-110001

3. M/s.SatyendraJain&Associates D-1, 2nd Floor Defence Colony New Delhi- 110024.

(KumudaniSharma)Company Secretary

Date : 19.09.2012

Place : New Delhi

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noMInAtIon forM

To

The Company SecretaryEngineering Projects (India) LimitedCore-3, SCOPE Complex,7 Lodhi Road,NewDelhi–110003

DearSir/Madam,

I hereby nominate Shri ____________________________________________________________(Name)

___________________________________________________ ___________________________(Designation)

as my nominee to represent at the 42ndAnnualGeneralMeeting(andanyotheradjournedmeetingthereof)ofthe Shareholders of EPI to be held on 28th September, 2012.

Thanking you,

Yours’ faithfully,

Signature DesignationPlace:Date:

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DIreCtors’ rePort

Dear Members

Your Directors have the pleasure in presenting 42nd Annual Report on the performance of the Company. The Report of the Statutory Auditors’ and the Comments on the Accounts of the Company by the Comptroller and Auditor General of India are annexed to this Report.

1. fInAnCIAl hIghlIghts

During the year 2011-12, the Company achieved a turnover of ` 90,127 Lakhs against the previous year turnover of ` 110,369Lakhs. ItearnedaGrossMarginof` 4356 Lakhs against the previous year Gross Marginof` 2499LakhsandearnedaProfitBeforeTax(PBT)of` 3636 Lakhs from the previous year PBT of ` 2258Lakhs,whichisanincreaseof61%.ThefinancialhighlightsofyourCompanyduringtheyear2011-12alongwiththecorrespondingpreviousyear’sfiguresareasunder:

(` in Lacs)

S.No Description 2011-12 2010-11

1. Turnover 90,127 110,369

2. Other Income 3645 2490

3. Total Income 93,772 112,859

4 GrossMargin 4356 2499

5. Interest Paid 647 186

6. Depreciation 73 55

7. ProfitBeforeTax 3636 2258

8. Taxes 1197 753

9 ProfitAfterTax 2447 1505

10 Net Worth 17,673 16,050

2. CAPItAl struCture

The authorised and paid-up share capital of the Company remains at ` 909.40 crores and ` 35.42 crores respectively. The Company entered into an agreement with National Securities Depository Ltd. (NSDL) for dematerialisation of Shares and all the Shareholders were given the option for conversion of their holding into dematerialized form.

3. DIVIDenD & reserVes

YourDirectorsrecommendDividendof20%ofthePaid-upshareCapitaloftheCompanyfortheyear2011-12.ThedividendshallbepaidafterseekingapprovaloftheShareholdersattheAnnualGeneralMeetingofthe Company. The total outgo on account of Dividend and Dividend Tax for the year 2011-12 will be Rs.708 lakhs and ` 115 lakhs respectively.

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Your Directors propose an amount of ` 200 Lakhs to be transferred to the General Reserve of the Company andthebalanceprofittobecarriedforward.Accordingly,anamountof` 14,124 Lakhs shall be available in the“Reserves&Surplus”accountason31March,2012.

4. MArketIng AChIeVeMents

Duringthefinancialyear2011-12,Companyhassecured12projectsvaluing` 1017.21crores. Some of the major projects are given below:

S. No. Name & Place of the Project Client Value (` in crs)

1. Construction of Bihar Police Academy, Rajgir, District Nalanda (Bihar)

Bihar Police Building Construction Corporation, (A Govt. of Bihar Undertaking), Patna

181.16

2. Raw Water Pipeline Works and Civil & Structural Works for Offsites (Part-B) for onshore Gas TerminalofGSPCLatMallavaram,AndhraPradesh(2 Pkgs)

Engineers India Limited, New Delhi

149.83

3. Construction of 2418 Tenements at Perumbakkam Phase-II in Chennai under JNNURM (BSUP) (2 Pkgs).

Tamilnadu Slum Clearance Board, Chennai

117.97

4. ConstructionofMegaHostelforNationalInstituteofTechnology (Phase-II), Calicut.

Central Public Works Department,KannurCentralDivision, Payyanur

99.61

5. Civil, Electrical and other Utility Services for Construction of Pre-Engineered Buildings (PEB) forMainOverhaulHangar,UtilityBuildings&AlliedFacilities in factory at Nasik (2 Pkgs).

Hindustan Aeronautics Limited, Aircraft Division, Nasik

92.45

6. ConstructionofHIG,MIGandLIGFlatsandrelatedworksatSholinganallur,(Phase-I&II)&MoggapairEast, Chennai

Tamil Nadu Housing Board, Chennai

52.39

7. Construction of Polytechnic Institute at Gumla & Garhwa, Jharkhand

Department of Science & Technology, (Govt. of Jharkhand), Ranchi

35.14

5. orDer Book PosItIon

During the current year 2012-13, your Company secured orders worth ` 63.34 crores till July 2012.

6. PerforMAnCe rAtIng unDer Mou

The performance of the company for the year 2010-2011 has been rated "Very Good" by the Department of PublicEnterprises(DPE)undertheMOUsignedwiththeGovernmentfortheyear.

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7. CorPorAte goVernAnCe

EPI is committed to practice sound corporate governance in conducting business in a legal, ethical and transparent manner. The Company believes that good Corporate Governance practices in the long term leads to creation of wealth for all its stakeholders. EPI has been complying with the Corporate Governance Guidelines issued by Department of Public Enterprises (DPE) and regularly submits the Compliance Report to Department of Heavy Industry (DHI) on quarterly basis. A Report on Corporate Governance practices being followedbytheCompanyandManagementDiscussionandAnalysisReportareannexedtotheDirectors’Report.

8. CreDIt rAtIng

TheRatingCommitteeofICRA,afterdueconsideration,hasassignedLongTermRatingofICRA‘APlus’andShortTermRatingofICRA‘A1Plus’totheCompany.Theoutlookonthelongtermratingis“Stable”.

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9. VIgIlAnCe ACtIVItIes

VigilanceWingisheadedbyChiefVigilanceOfficer,whichhelpsinensuringfunctioningoftheorganisationina transparent manner. Preventive vigilance is done through periodic inspections and taking corrective actions well in advance along with the recommendations to infuse transparency and curtail corrupt practice.

A number of new initiatives have been taken to enhance the transparency in operations during the period under reference. Technical examinations are conducted at various project sites to ensure quality end product. Integrity Pact, Fraud Prevention Policy, Whistle Blower Policy have been implemented in the right earnest.

Your Company observed “Vigilance Awareness Week” with effect from 31.10.2011 to 05.11.2011 in its Corporate/Regional/SiteOfficesasperthedirectionsofCVCwithgreatzeal.

10. huMAn resourCe

Company knows the importance of development of its human resource. To keep pace with the new emerging trends in the field of project execution, its main business, it trains its manpower in the emerging fields.Employees are being sponsored for In house and outside training programmes, seminars and workshops to enhance technical, communication and personal skills from time to time at various levels. Further, all efforts are being done to retain its present manpower.

Ason31stMarch,2012,Companyhadastrongforceof419employees.

11. sC/st Personnel

ThenumberofSC/STemployeesontherollsoftheCompanyason31stMarch,2012was93,whichconstituted22.19%ofthetotalstrength.

12. PhYsICAllY ChAllAngeD Person

The number of physically challenged persons as on 31stMarch,2012was9whichconstituted2.14%ofthetotal strength.

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13. ProPAgAtIon of rAJBhAshA/hInDI

EPI follows allGovt. guidelines on implementation ofRajbhasha in itsCorporateOffice and itsRegionalOffices.RajbhashaKaranavyanSamiti’smeetingsaredoneatregular intervals intheCompany,wherealldecisions are taken for progress of Hindi in EPI. Number of awards are given to the employees who work in Hindiwhichincludesmonetarybenefitsalso.

To promote the usage of Hindi, EPI made serious efforts. “Hindi Pakhwara” is being celebrated from 1st September to 14th September, for the progress of Hindi language. During Pakhwara, Rajbhasha Division organized many competitions for employees and their families which include competitions on Writing, Poem Recitation, Chitra Abhivaykti, Dictation, Noting-Drafting, Hastakashar, Debate, Quiz etc. Employees are encouraged to work in Hindi.

14. eConoMY In ADMInIstrAtIVe eXPenDIture

KeepinginviewtheGovt.Directives,effortsweremadetoachieveeconomyinadministrativeexpenditureinEPI during the year 2011-12.

15. BoArD of DIreCtors

Presently, theBoardofDirectorsof theCompanyconsistsoffivemembers, threeDirectorsare functionalDirectorsincludingtheChairman-cum-ManagingDirector,oneDirectorispart-timeOfficialDirectorfromtheAdministrativeMinistryandoneDirectorispart-timenonOfficialDirector.FollowingchangestookplaceintheDirectorshipoftheCompanyfromthedateoflastAnnualGeneralMeeting:-

ShriVinooGopalwasappointedasDirector(Projects)oftheCompanyvideorderNo.16(9)/2011-TSWdated21.12.2011ofMinistryofHeavy Industries&PublicEnterprises,DepartmentofHeavy Industry (DHI).Heassumed the charge on 02.01.2012.

Shri R.Asokan tendered his resignation from the Directorship of EPI on 14.06.2012 vide his letter addressed to the Company Secretary, EPI consequent upon his transfer to National Pharmaceutical Pricing Authority (DepartmentofPharmaceutical,MinistryofChemical&Fertilizers).

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16. DIreCtors’ resPonsIBIlItY stAteMent

AsrequiredunderSection217(2AA)oftheCompaniesAct,1956,yourDirectorsherebyconfirm:

(i) That in the preparation of the annual accounts, the applicable accounting standards have been followed along with proper explanation relating to material departures;

(ii) That the Directors had selected such accounting policies and applied them consistently and made judgments and estimates that are reasonable and prudent so as to give a true and fair view of the state ofaffairsoftheCompanyasat31stMarch,2012andoftheprofitoftheCompanyfortheyearendedonthat date;

(iii) Thatproperandsufficientcarehasbeentakenforthemaintenanceofadequateaccountingrecordsinaccordance with the provisions of the Companies Act, 1956 for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities; and

(iv) That the annual accounts have been prepared on a going concern basis.

17. AuDItors

M/s.SatyendraJain&Associates,CharteredAccountants,wereappointedasStatutoryAuditorsandBranchAuditors forNorthernRegionalOfficeof theCompany for thefinancialyear2011-12.M/s.G.P.Agrawal&Company,M/s.R.B. Jain&AssociatesandM/s.PadmanabhanPrakash&Company,wereappointedasBranchAuditors for theEastern,WesternandSouthernRegionalOffices respectively.ReportofStatutoryAuditors on the Accounts of the Company for the year ended 31stMarch2012areannexedtotheReport.Thecomments on the accounts for the year ended 31stMarch2012bytheComptroller&AuditorGeneralofIndiaunder section 619(4) of the Companies Act, 1956 are given in the addendum to this Auditors Report.

18. DIsClosure of PArtICulArs

In accordance with the provisions of section 217 (1) (e) of the Companies Act, 1956, read with the Companies (Disclosure of Particulars in the Report of Board of Directors) Rules, 1988, the information on conservation of energy, technology absorption and foreign exchange earnings and outgo is detailed as under:

18.01 EnergyEfficiencyanditsConservation–

The Company’s activities do not involve direct use of energy in construction processes, EPI has been consistently laying emphasis on utilizing energy efficient equipment in its office premises and in variousprojects entrusted to it for execution so as to minimally affect the ecology and environment.

Energy conservation measures taken:

(i) Avoiding idle running of Equipments.

(ii) Switching off the Lights when not required.

(iii) Replacinginefficient/highercapacityequipmentswithefficient/lowcapacityequipments.

(iv) Improving output rates of equipments to reduce power consumption.

18.02 Technology Absorption

a) Research and Development

The Company’s R&D initiative includes development of software like Conveyor Sizing Calculations, Civil Costing & Estimation and Strud. The Conveyor Sizing Calculation Software creates conveyor characteristic

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data based on conveyor load requirement. Civil Casting & Estimation Software creates basic rate for civil items like RCC, PCC etc. and Strud helps in designing of steel structure building and estimating the bill of quantity. Besides development of softwares, efforts were also focused towards improving quality of worksandefficiencyinconstructionbysponsoringprogrammesforskillenhancementintradesrelatedtoconstruction industry like site accounting, general supervision, land survey, carpentry, bar-bending etc.

b) Technology Absorption

To strengthen management skill, various softwares were installed. Further, concept of pre-engineered building (PEB) was put in practice in projects executed by EPI.

Further, EPI has in house designing and detail drawings.

18.03 Foreign exchange earnings and outgo

During the year 2011-12, there is an outgo of foreign exchange to the tune of ` 7.06 Lakhs towards foreign travel expenses and there are no earnings in foreign exchange.

19. stAtutorY InforMAtIon regArDIng eMPloYees As reQuIreD unDer seCtIon 217 (2A)

None of the employees was in receipt of remuneration in excess of ` 5,00,000/-permonthor` 60,00,000/-perannumduringtheyearended31stMarch,2012.

20. CorPorAte soCIAl resPonsIBIlItY (Csr)

As a socially responsible corporate citizen, Your Company is committed to create a positive and lasting social impact by mutual trust and respect for raising the standard of living of the people in and around the project site. The CSR Vision of EPI is -

“Toworkforsocietyatlargeandimprovetheirqualityoflifeandbuildapositiveandsociallyresponsibleimage of EPI as a corporate entity”.

Duringtheyear2011-12,Companyhasallocated3%ofProfitaftertaxtoCSRactivitiesandhasundertakenthe following activities:

(i) Skill Enhancement Programme in various trades like Masonry, Carpentry, Bar Bending, Generalsupervisory work etc. for the unemployed youth living in and around the project sites at Dwarka (Delhi) andJoka(Kolkata).Aftersuccessfulcompletionoftraining,beneficiarieshavebeenplacedincompaniessuch as M/s Shapoorji Pallonji & Co. Ltd, M/s Larsen & Toubro Ltd., M/s Simplex Infrastructure, M/sRoseValleyCo.,M/sB.L.KashyapCo.,M/sG.D.Construction,M/sR.D.S.Projectsetc

(ii) “TrainingprograminTailoring,CuttingandApparelDesigningforMarginalizedandDestituteWomenofJhansi (UP)”.

(iii) Community Development Project undertaken at Nalanda District of Bihar covers the aspects such as Skill Enhancement, Health Related Issues, Street Lighting, Safe Drinking Water, Sanitation. The programme is being undertaken in 20 villages in Rajgir Block of Nalanda District in Bihar.

FortheinitiativesundertakeninthefieldofCSR,EPIwasawardedthe“GoldenPeacockAwardforCorporateSocial Responsibility 2012” in engineering sector.

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21. sustAInABle DeVeloPMent (sD)

EPI endures to have a balanced approach to economic activity, social progress and environment responsibility. During the year, EPI undertook activities like Rain Water Harvesting solutions, Solar Street Lightning, Tree Plantation in areas in and around projects of the Company. The Sustainable Development initiatives are regularly reviewed by the Board Level Committee headed by an Independent Director.

22. ACknoWleDgeMent

YourDirectorsexpress theirsincere thanks forall thehelp,guidanceandsupportextendedbyMinistryofHeavyIndustries&PublicEnterprises,DepartmentofHeavyIndustryandotherMinistriesandOrganizationsof the Government of India and State Governments. Your Directors are also grateful to various clients and Banksfortheconfidencereposedbythemandappreciatethecontributionofthesub–contractors,vendorsand consultants in implementation of the projects. Your Directors wish to convey their appreciation to all employeesforvaluableservicesandco-operationextendedbythemandareconfidentthattheywillcontinueto contribute their best towards achieving better performance in future.

For and on behalf of the Board

(S P S Bakshi)Place:NewDelhi. Chairman-cum-ManagingDirectorDated: 13.09.2012 DIN: 02548430

Medical Health Check-up Camp Organized by EPI at Nalanda District, Rajgir Block

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rePort on CorPorAte goVernAnCe

1. the CoMPAnY’s PhIlosoPhY on CorPorAte goVernAnCe

The Mission/Vision statement of the Company includes enhancing the stakeholders’ value and theCompanyfirmlybelievesthatonlygoodcorporategovernancewillgeneratevalueonasustainedbasistoall its stakeholders. Corporate Governance primarily concerns transparency, full disclosure of material facts, independence of Board and fair play with all stakeholders. The Company will endeavour to constantly comply with and to continuously improve on these aspects with an overall view to earn the trust and respect of members,lenders and other stakeholders. The philosophy on Corporate Governance of EPI is as follows:

“To exercise professionalism and be effective, responsive and transparent in order to create value for all the stakeholders of the Company”

2. BoArD of DIreCtors

(A) CompositionoftheBoard

EPIbeingaPSU,appointment/nominationofDirectorsismadebythePresidentofIndiathroughMinistryofHeavyIndustry and Public Enterprises pursuant to Article 68 of Articles of Association (AOA) of the company. Presently, BoardofEPI canhaveeightmembers, ofwhom threeareFunctionalDirectors (includingChairman–cum–ManagingDirector),twoarenomineesofGovtofIndiaandthreeareIndependentDirectors.TheIndependentDirectorsareusuallydrawnfromthefieldsofManagement,Engineering,andEconomics&Accountsetc.

Ason31stMarch,2012, thereweresixDirectorsontheBoardcomprisingof threeWholeTimeDirectorsincludingChairman-cum-ManagingDirector,twoparttimeofficialdirectorswhoareGovt.NomineeandoneIndependent Director. Two positions of Independent Directors are vacant. The Govt. of India is in process of fillingupthesevacanciesintermsofArticle68ofArticlesofAssociationoftheCompany.

(B) BoardProcedure

The Board of Directors plays primary role in ensuring good governance and functioning of the Company. ThemeetingsoftheBoardaregenerallyheldattheCompany’sregisteredofficeinNewDelhi.TheBoardmeetsatregular intervalstodiscussthephysical&financialprogressof theCompany.TheagendanotesforthemeetingarepreparedbytheconcernedofficialsandapprovedbytheFunctionalDirectorsincludingChairman-cum-ManagingDirector.DulyapprovedagendanotesarecirculatedtoalltheDirectorsinadvance.Wherever it is not practical to send the relevant information as a part of the agenda papers, the same is tabled in the meeting.

The Board periodically reviews the compliance status of all the applicable laws. All the decisions are taken afterdetaileddeliberationsbytheBoardMembersatthemeetings.

(C) NumberofBoardMeetings

Duringtheyear2011-12,four(4)Meetingswereheld,thedetailsofwhicharegivenbelow:

SI. No. Date of Meeting Board Strength No. of Directors Present

1 27.06.2011* 6 4

2 06.09.2011* 5 5

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3 24.10.2011 5 5

4 19.01.2012 6 6

5 28.03.2012 6 6

*The meeting was adjourned due to the absence of Govt. Directors and was held on 06th September, 2011

(D) Details of the composition of the Board of Directors, their tenure, category of the Director,attendanceattheBoardmeeting,GeneralMeeting&otherDirectorshipheldduringtheyear2011-12aregivenbelow:

Name Meeting attended

AGM attended

Other Directorship Period

(a) Functional Directors

Shri S P S BakshiChairman-cum-ManagingDirectorDIN : 02548430

4/4 Yes Nil 05.02.09 to 04.02.14

Shri A.K. RatwaniDirector (Projects)DIN : 00730349

1/1 N/A Nil 01.09.06 to 31.08.11

Shri A.K. VermaDirector (Finance)DIN : 03428630

4/4 Yes Nil 01.02.11 to 31.01.16

Shri Vinoo GopalDirector (Projects)DIN : 05173442

2/2 N/A Nil 02.01.12 to 01.01. 17

(b) Govt. Nominees

Shri Harbhajan SinghJointSecretary,MinistryofHeavyIndustries & Public EnterprisesDIN:02922092

0/1 N/A 8 08.01.10 to 17.08.2011

Shri R. AsokanDirector,MinistryofHeavyIndustries& Public EnterprisesDIN :01079166

4/4 Yes 4* 01.02.08–tillfurtherorders

Shri Niraj KumarDirector,MinistryofHeavyIndustries& Public EnterprisesDIN :03622825

4/4 Yes Nil 17.08.2011–tillfurtherorders

(c) Independent Director

Dr. K.S. RaoDIN :03383447 4/4 Yes Nil 16.12.2010 to 15.12.13

* Shri R. Asokan resigned from the Directorship of Bharat Bhari Udyog Nigam Ltd. on 22.08.2011.

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During the year 2011-2012, following changes in the Directorship took place:

1. ShriHarbhajanSingh,JointSecretary,MinistryofHeavyIndustries&PublicEnterprisesceasedtobetheDirectorontheBoardoftheCompany,pursuanttoorderNo.16(12)/2001-TSWdated17.08.2011ofMinistryofHeavyIndustries&PublicEnterprises,DepartmentofHeavyIndustry.

2. ShriNirajKumar,Director,DepartmentofHeavyIndustrywasappointedasParttimeOfficialDirectorontheBoardoftheCompany,videorderNo.16(12)/2001-TSWdated17.08.2011ofMinistryofHeavyIndustries & Public Enterprises, Department of Heavy Industry.

3. ShriA.K.RatwaniceasedtobetheDirectorontheBoardoftheCompany,oncompletionofhistenureon31.08.2011inaccordancewithorderNo.16(15)/2005-TSWdated11.08.2006ofMinistryofHeavyIndustry & Public Enterprises, Department of Heavy Industry.

4. Shri Vinoo Gopal was appointed as Director (Projects) of the Company vide order No. 16(9)2011-TSW dated21.12.2011ofMinistryofHeavyIndustries&PublicEnterprises,DepartmentofHeavyIndustry(DHI). He assumed the charge on 02.01.2012.

(E) BriefResumeoftheDirectorspresentlyontheBoard

(i) Shri S P S Bakshi (53 years)ShriSPSBakshijoinedEPIasChairman-cum-ManagingDirectorinFebruary,2009.ShriBakshiisaPostGraduateinHighways&Trans.EngineeringandMBAinHumanResourceDevelopment.HeisaFellowMemberoftheInstitutionofEngineers(India)andaMemberofthe Institute of Transportation Engineers, USA. Shri Bakshi has a rich and comprehensive experience of30yearsinthefieldofProjectPlanning&ManagementwithspecialreferencetoImplementationofMegaBuildings&AirportsandHighwayProjectson turnkeybasis.HehasalsohandledprojectsonPublic Private Partnership basis. Before joining EPI, Shri S P S Bakshi has worked at senior positions in Airports Authority of India and National Highways Authority of India. He has handled major Infrastructure Airports and Highways Projects of national importance.

(ii) Shri A.K.Verma (52 Years)ShriA.K.VermajoinedEPIasDirector(Finance)on1stFebruary,2011.Hehasrichexperienceofabout30yearsinFinance,AccountsandAuditingfields.HeholdsqualificationofM.Com,MBA,LL.BandisalsoaFellowMemberoftheInstituteofCostandWorksAccountantsofIndia. Shri Verma has been associated in various Railways, Highways and Buildings projects in the natureofturnkey,itemsrates,costplus/depositworkinIndiaandabroad.ShriVermahasvastexposureofcostingofcashprojects includingfinancialmodelingforBOT/Annuity/Concessionprojects,projectfinancing,finalizationofaccountsforconstructioncompanies,budget&budgetarycontroltools,foreigncurrency hedging and cross currency risk. Before joining EPI, Shri Verma has worked with IRCON International Ltd. and various other Public Sector companies.

(iii) Shri Vinoo Gopal (53 Years) Shri Vinoo Gopal joined EPI as Director (Projects) on 2nd January, 2012. He is a Civil Engineer having rich experience spanning over 30 years in Cost Estimation, Tendering, BusinessDevelopment,ContractManagement,Planning&ProjectExecutioninthefieldofRailways,Highways,BridgesandBuildings.ShriGopalhashandledMulti-disciplinaryProjectsbothinIndiaandabroad including projects of Public Private Partnership basis. Before joining EPI, Shri Gopal has worked with IRCON International Ltd. and Uttar Pradesh Rajkiya Nirman Nigam.

(iv) Shri Niraj Kumar (46 years)ShriNirajKumarisDirector,DepartmentofHeavyIndustryGovt.ofIndia.HejoinedtheBoardofEPIon17thAugust,2011asnomineeofGovt.ofIndia.ShriKumarisfromIndianPostal Service, 1992 Batch. He is a B.Sc. (Geology) from Patna University. During his service in the Department of Posts, he has worked in different parts of the country including Rajasthan, Tamil Nadu. In the year 2002 he joined Raipur as Director, Postal Services, Chhattisgarh Circle. In 2004, he joined as DirectorintheMinistryofCommunicationsandIT,DepartmentofPostsatDakBhawan,NewDelhi.He

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alsoworkedasAdditionalGeneralManager,BusinessDevelopment&MarketingDirectorate.ShriKumarhasalsorepresentedthecountryinvariousseminars/conferencesconductedabroad.

(v) Dr. K.S. Rao (54 Years)Dr.K.S.Rao,Professor,DepartmentofCommerce&ManagementStudies,Andhra University, Visakhapatnam joined EPI, as an Independent Director on 16th December, 2010. Hehasrichandcomprehensiveexperienceof26yearsinthefieldofTeachingandResearch.HeisLifeMemberin“AllIndiaCommerceAssociation”and“CommerceAssociationofKerala”.Heisalsoamemberof“ResearchDevelopmentAssociation”and“IndianAccountingAssociation”.Dr.K.S.Raohasbeen awarded with “UGC Career Award”. He served as a member in various working group meetings for development of instructional material organized by PSSCIVE (NCERT Wing). He is also a Governing BodyMemberinvariousDegreeCollegesaffiliatedtoAndhraUniversity.

3. AuDIt CoMMIttee

TheCompanyhasanAuditCommitteedulyconstitutedbyBoardwithpowersandroledefinedinaccordancewith DPE Guidelines on Corporate Governance and Sec 292A of the Companies Act, 1956.

Duringtheyear2011-12,ShriA.K.Ratwani,Director(Projects)completedhistenureon31st August, 2011. ConsequentuponcompletionoftenureofShriA.K.Ratwani,AuditCommitteewasreconstitutedtoinduct ShriSPSBakshi,CMD,EPI as themember on theAuditCommittee.Thereafter,ShriVinooGopalwas appointed as Director (Projects) on 2nd January, 2012 and Audit Committee was reconstituted to induct ShriVinooGopal,Director(Projects)inplaceofShriSPSBakshi,CMDon19th January, 2012.

The composition of the Committee as on 31.03.2012 is as under:-

Name Designation Category

Dr.K.S.Rao Chairman Independent Director

Shri R. Asokan Member Govt. Nominee

Shri Vinoo Gopal Member Director (Projects)

During the year 2011-12, two meetings of the Audit Committee were held on 27th June, 2011 and 19th January, 2012.TheMeetingheldon27th June, 2011 was adjourned due to the absence of Govt. Directors and the adjourned meeting was held on 6th September, 2011.

TermsofReferenceofAuditCommittee

The terms of reference of Audit Committee are in line with Section 292A of the Companies Act, 1956 and DPE Guidelines on Corporate Governance.

4. reMunerAtIon CoMMIttee

The Remuneration Committee was reconstituted in the meeting of Board of Directors held on 19th January, 2012andShriVinooGopal,Director(Projects)wasinductedasMemberoftheCommittee.Duringtheyear2011-12, three meetings of the Remuneration Committee were held on October 24, 2011, January 19, 2012 andMarch28,2012.

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The composition of the Committee as on 31.03.2012 and the attendance of the members at the meetings are as under:

Name No. of Meetings held during their respective tenure

No. of Meetings attended

Dr.K.S.RaoChairman 3 3

Shri R. Asokan Member 3 3

ShriA.K.VermaMember 3 3

Shri Vinoo Gopal Member 1 1

TermsofReferenceofRemunerationCommittee

The term of reference of Remuneration Committee is to look into the aspects related to Remuneration of the employeesincludingannualbonus/variablepaypoolandpolicyforitsdistributionacrosstheExecutivesandNon-Unionized Supervisors, within the prescribed limit. In addition to the same, any other matter may be specificallyreferredbytheBoardofDirectorsforitsrecommendation.

5. shAre trAnsfer CoMMIttee

TheCompanyhasaShareTransferCommitteeconsistingofSeniorOfficialsoftheCompanytolookintoallthetransfers,transmissionsofShares.M/sMCSLtd.hasbeenappointedasRegistrarandShareTransferagent to register the share transfer and Coordinate with the depositories etc.

6. sustAInABle DeVeloPMent CoMMIttee of the BoArD

In compliance to DPE Guidelines on Sustainable Development (SD), a Board level committee on SD has been constituted on 19th January, 2012 consisting of the following Directors:

1. Dr.K.S.Rao,Director-Chairman

2. ShriA.K.Verma,Director(Finance)-Member

3. ShriVinooGopal,Director(Projects)-Member

The 1stMeetingofthisCommitteewasheldon29th February, 2012, wherein Committee approved the SD Policy of the Company.

7. DIsClosures

A. Details of the remuneration paid to the Functional Directors and sitting fees paid to Independent Directors during the year 2011-12 are as under :

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A: Functional Director (In ` )

Directors Salary Perquisite Total

Shri S P S BakshiChairman-cum-ManagingDirector 23,04,286 1,52,865 24,57,151

ShriA.K.RatwaniDirector (Projects) 8,16,495 71,937 8,88,432

Shri Vinoo GopalDirector (Projects) 3,96,424 8,100 4,04,524

ShriA.K.VermaDirector (Finance) 19,83,134 1,45,692 21,28,826

B: Independent Director:

Directors Sitting Fees

Dr.K.S.Rao ` 87,500

(i) During the year there was no related party transaction except salary paid to Functional Directors and Sitting Fees paid to Non-Functional Directors.

(ii) The Statutory Compliance Report together with the status of the statutory dues is being placed before the Board regularly.

(iii) Itisreaffirmedthatnopenalties,strictureshavebeenimposedbyanystatutorybodyexceptsalestaxmatter which is under appeal.

(iv) The Company is complying with all the requirements of the Guidelines on Corporate Governance for CPSEsissuedbytheDPEexcepttheCompositionofBoardanditsSub–CommitteesasGovt.ofIndiaisinprocessoffillingthevacanciesoftheIndependentDirectors.

(v) During the year, no Presidential Directive was issued by the Government of India.

(vi) During the year, no expenditure is debited to the books and accounts which are not for the purpose of business expenditure and no expenses which are of personal nature have been incurred for the Board ofDirectorsandTopManagement.

(vii) The Company has formulated a Whistle Blower Policy and no Personnel have been denied access to Audit Committee.

(Viii) The Percentage ofAdministrative Expenses to Total Expenses has increased to 7.23% as againstprevious year Percentage of 5.60%. TheAdministrative Expenses includes Employee Expenses of ` 4536 lakhs (previous year ` 4626 lakhs) and Other Expenses amounting to ` 1982 lakhs (previous year ` 1571 lakhs). The increase is partly on account of increase in Other Expenses during the year and partly on account of decrease in total expenses during the year, which is due to corresponding decrease in the Turnover.

8. rIsk MAnAgeMent & frAuD PreVentIon PolICY

EPIhasformulatedRiskManagementpolicytoidentify,evaluateandmitigaterisksurroundingthecompany.ThemainobjectivesofRiskmanagementpolicyofEPIistodefineaframeworkforidentification,evaluationand mitigation of risk, to encourage pro-active rather than reactive management, provide assistance to and improve the quality of decision making throughout the organization.

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Further, Company also has a Fraud Prevention Policy in place since September 2010 for prevention, detection, reporting of fraud prevailing in the Company.

9. generAl BoDY MeetIngs:

i) ThedetailsofthelastthreeAnnualGeneralMeetingoftheCompanyaregivenbelow:

AGM Financial Year

Date and Time of AGM Location

41st* 2010-11 September 29th, 2011 at 4.30 p.m. Core 3, SCOPE Complex. Lodhi Road, New Delhi

40th 2009-10 September 30th, 2010 at 3.00 p.m. Core 3, SCOPE Complex. Lodhi Road, New Delhi

39th 2008-09 September 29th, 2009 at 3.00 p.m. Core 3, SCOPE Complex. Lodhi Road, New Delhi

*TheAnnualGeneralMeetingdated29th September, 2011 was adjourned due to non-receipt of comments of Comptroller and Auditor General of India and held on 30th September, 2011.

ii) DetailsofSpecialResolutionpassedatlastthreeAGMs

AGM Financial Year Details of Special Resolution passed

41st 2010-11 NIL

40th 2009-10 (i) Amendment in Articles of Association of the Company,

(ii) Conversion of Company into Public Limited Company

39th 2008-09 NIL

10. MeAns of CoMMunICAtIon WIth shAreholDers

The paid up share capital of the Company is being held by the Government of India, seven CPSEs and a trustcreatedonbehalfof theseCPSEs.TheGovernmentof Indiaholds99.98%of thepaidupcapitalofthe Company. The Company displays its bilingual Annual Report on its website for the information of its shareholders together with other important information pertaining to the Company. Annual Report and other papers related to shareholders are being sent regularly in physical form as well as through electronic mode pursuanttoCircularNo.17/95/2011-CL.Vdated29.04.2011issuedbyMinistryofCorporateAffairs(MCA).

11. AuDIt QuAlIfICAtIons

The comments on the Accounts for the year ended on 31stMarch,2012bytheComptroller&AuditorGeneralof India under Section 619(4) of the Companies Act, 1956 and the Statutory Auditor are given in the addendum to the Directors’ Report.

12. trAInIng of BoArD of DIreCtors

The Company makes a brief presentation about the working of the Company and provides various documents and booklets to the Directors on their joining the Board. This includes important data about the performance of the Company, Memorandum & Articles of Association, Corporate Governance Guidelines, Role andResponsibilityofDirectorsetc.TheDirectorsarealsosponsoredfortheseminars/conferencesorganizedinthis respect.

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13. WhIstle BloWer PolICY

The Company has a Whistle Blower Policy which ensures full protection to the person making protected disclosure from any victimization. All employees are eligible to make protected disclosures to the Chairman, Audit Committee preferably in writing.

14. CoDe of ConDuCt

The Board of Directors has laid down the Code of Business Conduct and Ethics for the Board members and SeniorManagementof theCompany.Thecopyof theCode isdisplayedon theWebsiteof theCompany http://www.epi.gov.in.AllBoardmembersandkeyofficialsof theCompanyhaveaffirmedtheircompliancewith the code. A declaration to this effect is annexed to this Report.

15. CoMPlIAnCe CertIfICAte

This Report duly complies with the requirements of Guidelines on Corporate Governance for CPSEs and covers all the suggested items mentioned in Annexure-VII of the Guidelines. The quarterly report on compliance with theCorporateGovernancerequirementsprescribedbyDPEisalsosenttoAdministrativeMinistryregularly.ThecertificateobtainedfrompracticingCompanySecretaryregardingcomplianceofconditionsofguidelinesof Corporate Governance of CPSEs has been annexed to the Report.

CDRI Campus, Lucknow

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DECLARATIONBYCHAIRMAN-CUM-MANAGINGDIRECTORREGARDINGCOMPLIANCEWITHTHECODEOFCONDUCTBYBOARDMEMBERSANDSENIORMANAGEMENTDURINGTHEFINANCIALYEAR2011-12.

I,SPSBakshi,Chairman-cum-ManagingDirector,EngineeringProjects(India)Limited,doherebydeclarethat all theMembersof theBoardofDirectors and theSeniorManagementTeamof theCompanyhaveaffirmedtheircomplianceoftheCodeofBusinessConductandEthicsoftheCompanyduring2011-12.

(S P S Bakshi) Chairman-cum-ManagingDirector DIN: 02548430Place : New DelhiDate : 13.09.2012

Inauguration of Nandakam Guest House by Hon’ble President of India on 09.09.12 constructed by EPI for TTD, Andhra Pradesh

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30

MAnAgeMent DIsCussIon AnD AnAlYsIs rePort

Industry structure and Development

The developments over the last year in major economies of the world have not been encouraging. The global economic environment which was tenuous at best throughout the year, turned sharply adverse in September, 2011,owingtotheturmoilintheEuro-zonecountriesandreflectedinsharpratingsdowngradesofsovereigndebt in most major advanced countries. The US economy has shown some improvement but economic growth remains sluggish.

FortheIndianeconomy,thiswasayearofrecoveryinterrupted.Indianeconomyisestimatedtogrowby6.9%in 2011-12 mainly due to weakening industrial growth. This indicates a slowdown compared not just to the previoustwoyears,whentheeconomygrewby8.4%,butalsofrom2003to2011,except2008-09economicdownturn,whenthegrowthratewas6.7percent.Butdespitethelowgrowthfigureof6.9%,Indiaremainsone of the fastest growing economies of the world as all major countries including the fast growing emerging economiesareseeingasignificantslowdown.

Inadequate infrastructure was recognized in the Eleventh Plan as a major constraint on rapid growth. The Plan had, therefore, emphasized the need for massive expansion in investment in infrastructure based on a combination of public and private investment. Substantial progress has been made in this respect, not only at the level of the Central Government, but also at the level of the individual States. A large number of PPP projects have taken off, and many of them are currently operational in both the Centre and the States.

The 2011 census shows an increase in the urban population from 27.8 per cent in 2001 to 31.2 per cent in 2011, and it is likely to exceed 40 per cent by 2030. This would generate a heavy demand for better quality infrastructure in urban areas, especially water, sewerage, public transport and low cost housing etc. Further, the Planning Commission, in its approach paper has projected an investment of over ` 45 lakh crore during the Twelfth Plan (2012-17). It is projected that at least 50 percent of this investment will come from the private sector as against the 36 per cent anticipated in the Eleventh Plan and public sector investment will need to increase to over ` 22.5 lakh crore as against an expenditure of ` 13.1 lakh crore during the Eleventh Plan. Financing infrastructure will, therefore, be a big challenge in the coming years and will require some innovative ideasandnewmodelsoffinancing.

sWot Analysis

Strengths

• Integrated engineering project management and construction Company having rich experience of handling wide range of projects and turnkey execution capabilities in major areas of operation.

• In-house design, engineering and project management capabilities.

• A team of competent professionals.

• PanIndiapresenceandfiveregionalofficesatdifferentgeographicallocationstoundertakeoperationsacross India.

• Exposure in execution of international projects.

• Consistent performance.

• ProfitmakingDividendpayingCompany.

• Debt free company.

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Weaknesses/Risk/Concern

• Operate in a competitive market,

• Problem in hiring and retaining best human resource

• High liquidity with private player is also putting EPI in a disadvantageous position.

• No experience of execution of projects on PPP basis.

• Restrictionsforequity/capitalinvestmentaffectgrowthprospectsoftheCompany.

Opportunities

• Majorexpansionofsteelplants&powerprojects.

• Large value projects in infrastructure being proposed for urban renewal projects of water supply, drainage, roads, urban transportation system.

• Majorinvestmentincanals,dams,riverconnectivityworksplannedinfuture.

• VariousProjectson“Depositworkbasis”fromCentral/StateGovernmentalsobeingproposed.

• Development of surplus land of Government and PSUs.

Threats

• Smaller multiple players have crowded the infrastructure sector.

• Low entry barriers for EPC contractors in the irrigation and WSS sectors.

• Prolonged delay in land acquisition and environmental clearances.

• Security concerns in certain regions.

• Lack of quality awareness in the Industry.

segment Wise and Product Wise Performance

Housing & Building works continued to be the highest contributor to the turnover of the Company followed byIndustrial,ProcessPlant,MaterialHandling&ElectricalProjectswhichpercentagesharehasincreasedfrom6.83%inyear2010-2011to33.42%intheyear2011-2012.ThepercentageshareofDams&IrrigationProjectshasdeclinedfrom7.82%to1%duringyear2011-2012.

The table below presents the segment wise analysis of the operations of the Company:

(` in Cr.)

Sl. No Segments of Projects 2009-2010 2010-2011 2011-2012

Turnover % Turnover % Turnover %

1 Housing & Building Works 603.20 57 766.15 69.42 575.72 63.88

2 Dams & Irrigation Projects 106.32 10 86.31 7.82 9.00 1.00

3 Industrial, Process Plant, MaterialHandling & Electrical Projects

95.88 9 75.36 6.83 301.19 33.42

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4 Water Supply & Environmental Schemes

144.23 14 77.91 7.06 0.3 0.03

5 Transportation Structures 34.12 3 2.46 0.22 4.22 0.47

6 Other Projects 78.25 7 95.50 8.65 10.84 1.2

Total 1062.00 100 1103.69 100 901.27 100

outlook

During eleventh plan, combination of public and private investment (PPP) in infrastructure sector has gained considerable success. Further, investment in infrastructure is estimated to over ` 45 lakh crore with half of this expected from private sector during Twelfth Plan period. Considering the total investment in infrastructure during the 12th plan and success of private investment in infrastructure through PPP mode, EPI may also enterintoprivatepartnershiporenterintostrategicalliancewithprivateagencytogainthenewopportunities/projects in infrastructure sector in its forthcoming years.

Internal Control systems and their Adequacy

TheCompanyhasaneffectiveinternalcontrolandauditsystemformaintainingefficiencyofoperationsandcompliances of applicable relevant laws and regulations. The organisation has well-structured policies and guidelines according to which works are executed. Regular, in-depth and exhaustive internal audits are being conductedbyprofessionallyqualifiedandexperiencedin-houseInternalAuditteamheadedbyaqualifiedandexperiencedOfficeroftherankofAdditionalGeneralManager,whoisreportingdirectlytotheChairmanandManagingDirector.

Internal Audit has resulted in not only improving quality of processes and expediting deliverables, but also accountability at all levels. The internal control and audit systems are being reviewed periodically by the ManagementandtheAuditCommitteeandnecessarystepsaretakenfromtimetotimeasapartofcontinuousimprovement.

Discussion on financial Performance with respect to the operational Performance

Duringtheyear2011-12,theCompanyhasearnedProfitBeforeTax(PBT)of̀ 3636 lakhs as against previous year’s PBT of ` 2258Lakhs,registeringanincreaseof61.07%andachievedaturnoverof` 90,127 Lakhs as against the previous year turnover of ` 110,369Lakhs.TheGrossMarginoftheyearwas` 4356 lakhs as compared to ` 2499 lakhsof thepreviousyear,higherby74.35%.Thenetworthof theCompanyhasincreased from ` 16,050 Lakhs to ` 17,673Lakhs,anincreaseof10.11%.

The Board has proposed a dividend of ` 708 lakhs, which is 20% of the paid up share capital of theCompany.

Material Development in human resource, Industrial relations front, Including number of the People employed

The industrial relations climate in the Company remained harmonious and peaceful during the year. The company has been taking initiatives for harnessing the inherent strength of its employees and for continuous improvement in work culture. It is also focusing on building leadership capabilities and strategic orientation in its employees through a series of training programmes and workshops. Training Programme have been focused on providing knowledge and necessary skills on emerging trends such as corporate governance,

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gender concern, quality control in road and bridge, e-procurement, global competitive technology strategy and United Nations global compact etc.

environmental Protection and Conservation, technological Conservation, foreign exchange Conservation

(a) EnvironmentalProtection&Conservation

To adhere to the need of Environment Protection and Conservation, due importance has been given on planting trees at the construction site, use of environment friendly construction material, installation ofenergyefficientlightingsystemandrecyclingofwastewater/effluenttreatmentsystem,utilizationofnatural lights, thermal insulation, intelligent building management system. On the eve of Independence Day, a tree plantation programme was launched by EPI at Scope Complex, Lodhi Road, New Delhi wherein 1000 trees were planted in and around the Scope Building.

(b) TechnologicalConservation

As a part of Technological Conservation, EPI has restored to the concept of Pre Engineered Building (PEB) in some of projects in order to minimize erection period as well as to avoid cumbersome erection process.

(c) ForeignExchangeConservation

The futuristic outlook of the Company’s policy has enabled optimal utilization of developing technologies forinstallationofmodernproduction&processingfacilitiesinIndia.Manysuchplantsrequiresuitablemodification/adaptationof themachinery, equipment& facilities from indigenous sourcesof foreign-based technological design. All the processes are put through rigorous testing and trials for adaptation for operating under rigors of Indian conditions. This has resulted in bringing down direct importation of plant & equipment to the barest minimum. The outgo of precious foreign exchange has been minimized through assimilation of advanced design & technical features using Indian expertise in detailed engineering, manufacturing & assembly of facilities based on new technologies and know-how developed abroad.

Corporate social responsibility

As a socially responsible corporate citizen, your Company is committed to create a positive and lasting social impact by mutual trust and respect for raising the standard of living of the people in and around the project site. The CSR Vision of EPI is -

“Toworkforsocietyatlargeandimprovetheirqualityoflifeandbuildapositiveandsociallyresponsibleimage of EPI as a corporate entity”.

Duringtheyear2011-12,Companyhasallocated3%ofProfitaftertaxtoCSRactivitiesandhasundertakenthe following activities:

1. SkillEnhancementProgrammeinvarioustradeslikeMasonry,Carpentry,Bar Bending, General supervisory work etc. for the unemployed youth livinginandaroundtheprojectsitesatDwarka(Delhi)andJoka(Kolkata).Aftersuccessfulcompletionoftraining,beneficiarieshavebeenplacedincompaniesM/sShapoorjiPallonji&Co.Ltd.,M/sLarsen&ToubroLtd.,M/sSimplexInfrastructure,M/sRosevalleyCo.,M/sB.L.KashyapCo.,M/sG.D.Construction,M/sR.D.S.Projectsetc

2. A “Training program in Tailoring, Cutting and Apparel Designing for MarginalizedandDestituteWomenofJhansi(UP)”. Golden Peacock Award

34

3. Community Development Project undertaken at Nalanda District of Bihar covers the aspects such as Skill Enhancement, Health Related Issues, Street lighting, Safe drinking water, Sanitation. The programme is being undertaken in 20 villages in Rajgir Block of Nalanda District in Bihar.

For the initiativesundertaken in thefieldofCSR,EPIwasawarded the ‘GoldenPeacockaward forCorporate Social Responsibility 2012’ in engineering sector.

Session on Health and Hygiene at Nalanda District, Rajgir Block

Cautionary statement

Statement in this management discussion and analysis report describing the company’s objectives, projections and expectations may be forward looking statements within the meaning of applicable laws and regulations. Actual results might differ substantially or materially from those expressed or implied, important developments thatcouldaffecttheCompany’soperationsincludeadowntrendintheinfrastructuresector,significantchangesineconomicenvironmentinIndia,exchangeratefluctuations,tax,laws,litigationandlabourrelation.

35

42nd


AnneXure to DIreCtors’ rePort: AuDItor’s rePort

Auditor’s Report

To,

The Members of Engineering Projects (India) Limited

1. We have audited the attached Balance Sheet of Engineering Projects (India) Limited (the “Company”)asat31March2012,StatementofProfitandLossandalsotheCashFlowStatementfortheyearthenendedannexedthereto(collectivelyreferredasthe‘financialstatements’)inwhichareincorporatedfinancialstatementsofEastern,Western&SouthernRegionalOfficesauditedbyBranchAuditorsappointedbytheComptrollerandAuditorGeneralofIndia.Thesefinancialstatementsaretheresponsibility of the Company’s management. Our responsibility is to express an opinion on these financialstatementsbasedonouraudit.

2. We conducted our audit in accordance with the auditing standards generally accepted in India. Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether thefinancialstatementsarefreeofmaterialmisstatement.Anauditincludesexamining,onatestbasis,evidencesupporting theamountsanddisclosures in thefinancialstatements.Anauditalso includesassessingtheaccountingprinciplesusedandsignificantestimatesmadebymanagement,aswellasevaluatingtheoverallfinancialstatementpresentation.Webelievethatourauditprovidesareasonablebasis for our opinion.

3. AsrequiredbytheCompanies(Auditor’sReport)Order,2003(the‘Order’)(asamended),issuedbytheCentral Government of India in terms of sub-section (4A) of section 227 of the Companies Act, 1956 (the‘Act’),weencloseintheAnnexureastatementonthemattersspecifiedinparagraphs4and5ofthe Order.

4. Further to our comments in the Annexure referred to above , we report that:

a. We have obtained all the information and explanations, which to the best of our knowledge and belief were necessary for the purposes of our audit;

b. In our opinion, proper books of account as required by law have been kept by the Company so far as appears from our examination of those books of accounts and proper returns adequate for the purposes of our audit have been received from branches not visited by us;

c. The Branch Auditors’ Reports have been forwarded to us and have been appropriately dealt with while preparing our report;

d. Thefinancialstatementsdealtwithbythisreportareinagreementwithbooksofaccount;

e. Inrespectofdisqualificationofdirectors,DepartmentofCompaniesAffairsvidestheirclarificationNo.G.S.R. 829 (E) dated 21 October 2003 has exempted Government Companies from provision of section 274(1) (g) of the companies Act 1956; and

f. In our opinion and to the best of our information and according to the explanations given to us, thefinancialstatementsdealtwithbythisreport comply with the accounting standards referred to in sub-section (3C) of section 211 of the Act and the Rules framed there under and give the information required by the Act, in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, in the case of:

36

i) the Balance Sheet, of the state of affairs of the Company as at 31stMarch2012;

ii) theStatementofProfitandLoss,oftheprofitfortheyearthenended;and

iii) theCashFlowStatement,ofthecashflowsfortheyearthenended.

For Satyendra Jain & AssociatesChartered AccountantsFirm Registration No: 012018N

CA Anil JainPartnerMembershipNo.072783

Place : New Delhi Date : 11.09.2012

37

42nd


Auditors Report

Based on the audit procedures performed for the purpose of reporting a true and fair view on the financialstatementsoftheCompanyandtakingintoconsiderationtheinformationandexplanationsgiven to us and the books of account and other records examined by us in the normal course of audit, we report that:

(i) (a)

(b)

(c)

The Company has maintained proper records showing full particulars, including quantitative details andsituationoffixedassets.

Thefixedassetshavebeenphysicallyverifiedbythemanagementduringtheyearandnomaterialdiscrepancieswerenoticedonsuchverification.Inouropinion,thefrequencyofverificationofthefixedassetsisreasonablehavingregardtothesizeoftheCompanyandthenatureofitsassets.

Inouropinion,asubstantialpartoffixedassetshasnotbeendisposedoffduringtheyear.

(ii) (a)

(b)

(c)

Inventory of the Company comprises of construction work in progress and stock of material. The inventory (exceptstock lyingwithcontractor/clients, confirmation forwhichhavebeenobtained)hasbeenphysicallyverifiedduringtheyearbythemanagement.Inouropinion,thefrequencyofverificationisreasonable.

Theproceduresofphysicalverificationofinventoryfollowedbythemanagementarereasonableand adequate in relation to the size of the Company and the nature of its business.

The Company is maintaining proper records of inventory and no material discrepancies were noticed onphysicalverification

(iii) (a)

(b)

TheCompanyhasnotgrantedanyloan,securedorunsecuredtocompanies,firmsorotherpartiescovered in the register maintained under section 301 of the Act. Accordingly, the provisions of clauses 4(iii) (b) to (d) of the Order are not applicable.

TheCompany has not taken any loans, secured or unsecured from companies, firms or otherparties covered in the register maintained under section 301 of the Act. Accordingly, the provisions of clauses 4(iii)(f) and 4(iii)(g) of the Order are not applicable.

(iv) In our opinion, there is an adequate internal control system commensurate with the size of the Companyandthenatureofitsbusinessforthepurchaseofinventoryandfixedassetsandforthesale of goods and services. During the course of our audit, no major weakness has been noticed in the aforesaid internal control system.

(v) The company has not entered into contracts or arrangements referred to in section 301 of the Act. Accordingly, the provisions of clause 4(v) of the Order are not applicable.

(vi) The Company has not accepted any deposits from the public within the meaning of sections 58A and 58AA of the Act and the Companies (Acceptance of Deposits) Rules, 1975. Accordingly, the provisions of clause 4(vi) of the Order are not applicable.

(vii) The company has an internal audit system, the scope and coverage of which, in our opinion, requires to be further strengthened to be commensurate with its size and the nature of its business.

AnneXure to the AuDItor’s rePort of eVen DAte to the MeMBers of engIneerIng ProJeCts (InDIA)

lIMIteD, on the fInAnCIAl stAteMents for the YeAr enDeD 31 MArCh, 2012

38

(viii) Recently the Central Government has prescribed maintenance of cost records under clause (d) of sub-section (1) of section 209 of the Act, in respect of Company’s products. The company is under process of maintaining the records and Cost Audit.

(ix) (a) Undisputed statutory dues including provident fund, investor education and protection fund, employees’ state insurance, income-tax, sales-tax, wealth-tax, service-tax, custom duty, excise duty, cess and other material statutory dues, as applicable, have generally been regularly deposited with the appropriate authorities. Further, we have been informed that the provisions of the Employee State Insurance Act and Investor education and protection fund are not applicable to Company. No undisputed amounts payable in respect thereof were outstanding at the year end for a period of more than six months from the date they became payable except ` 58,54,331/-asfollows:

Sl. No. Name of the statute Nature of dues

Period to which pertain

Amount (`) Since Paid on

1. ManipurVatAct VAT 2010-2011 42,84,806 30.07.122. West Bengal Vat Act VAT 2010-2011 27,145 24.07.123. Income Tax Act, 1961 Income tax 2010-2011

2011-20121,16,606 09.07.12

4. Income Tax Act, 1961 Income tax 2010-2011 2011-2012

14,972 07.07.12

5. Income Tax Act, 1961 Income tax 2010-2011 449 23.06.126. Bihar Labour Cess Labour Cess 2010-2011 13,51,856 31.07.127. Jharkhand Labour Cess Labour Cess 2010-2011 58,497 01.08.12

Total 58,54,331

(b) The dues outstanding in respect of sales-tax, income-tax, custom duty, wealth-tax, excise duty, cess etc on account of dispute, are as follows:

Name of the statute

Nature of dues Amount (in `)

Period to which the amount

relates

Forum where dispute is pending

Delhi Sales Tax Act, 1975

Penalty 40,000 1990-91 Assistant Commissioner, Sales Tax

Delhi Sales Tax Act, 1975

CST 9,745,379 1995-96, 1997-98 & 1998-99

Additional Commissioner, Sales Tax

UP Trade Tax Act, 1948

UP trade tax 872,500 1993-94 Sales Tax Tribunal

Tamil Nadu General Sales Tax Act, 1959

TNGST 10,196,988 1997-1998 Sales Tax Tribunal Additional Branch

Gujarat Sales Tax Act, 1969

VAT Gujarat 205,694 2004-2005 Dy. Commissioner, Commercial Tax (Appeal), Ahmedabad, Gujarat

Gujarat Sales Tax Act, 1969

VAT Gujarat 16,298,974 2005-2006 Gujarat Value Added Tax Tribunal, Ahmedabad, Gujarat

Total 37,359,535

(x) Inouropinion,theCompanyhasnoaccumulatedlossesattheendofthefinancialyearandithasnotincurredcashlossesinthecurrentandtheimmediatelyprecedingfinancialyear.

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(xi) TheCompanyhasnoduespayabletoafinancialinstitutionorabankordebentureholdersduringthe year. Accordingly, the provisions of clause 4(xi) of the Order are not applicable.

(xii) The Company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities. Accordingly, the provisions of clause 4(xii) of the Order are not applicable.

(xiii) Inouropinion,theCompanyisnotachitfundoranidhi/mutualbenefitfund/society.Accordingly,theprovisions of clause 4(xiii) of the Order are not applicable.

(xiv) In our opinion, the Company is not dealing in or trading in shares, securities, debentures and other investments. Accordingly, the provisions of clause 4(xiv) of the Order are not applicable.

(xv) As informed to us, the Company has not given any guarantees for loans taken by others from banks orfinancialinstitutions.Accordingly,theprovisionsofclause4(xv)oftheOrderarenotapplicable.

(xvi) The Company did not have any term loan outstanding during the year. Accordingly, the provisions of clause 4(xvi) of the Order are not applicable.

(xvii) The Company did not have any borrowings outstanding during the year. Accordingly, the provisions of clause 4(xvii) of the Order are not applicable.

(xviii) The Company has not made any preferential allotment of shares to any parties or companies covered in the register maintained under section 301 of the Companies Act, 1956. Accordingly, the provisions of clause 4(xviii) of the Order are not applicable.

(xix) The Company has neither issued nor had any outstanding debentures during the year. Accordingly, the provisions of clause 4(xix) of the Order are not applicable.

(xx) The Company has not raised any money by public issues during the year. Accordingly, the provisions of clause 4(xx) of the Order are not applicable.

(xxi) No fraud on or by the Company has been noticed or reported during the period covered by our audit.

For Satyendra Jain & AssociatesChartered AccountantsFirm Registration No: 012018N

CA Anil JainPartnerMembershipNo.072783

Place: New Delhi Date: 11.09.2012

40

BAlAnCe sheet As At 31.03.2012

(Amount in ` )

Particulars Note No. As at 31st March, 2012 As at 31st March, 2011

I. EQUITY AND LIABILITIES

1 Shareholders’ funds :

a) Share Capital 2.1 354,226,880 354,226,880

b) Reserves and surplus 2.2 1,413,075,636 1,767,302,516 1,250,743,213 1,604,970,093

2 Non current liabilites

a) Long - term borrowings 2.3 - -

b) Other long - term liabilites

2.4 1,193,463,119 977,892,163

c) Long - term provisions 2.5 204,929,126 1,398,392,245 190,858,556 1,168,750,719

3 Current liabilites

a) Short term borrowings 2.6 - -

b) Trade payables 2.7 2,366,670,301 2,243,672,317

c) Other current liabilites 2.8 54,136,258,159 50,425,998,212

d) Short term provisions 2.9 285,028,451 56,787,956,911 280,866,380 52,950,536,909

TOTAL 59,953,651,672 55,724,257,721

II. ASSETS

1 Non current assets

a) Fixed assets 2.10

(i) Tangible assets 51,667,829 48,556,239

(ii) Intangible assets 2,084,766 1,426,362

(iii) Capital work-in-progress

- -

(iv) Intangible assets under development

- -

53,752,595 49,982,601

b) Non current investments 2.11 - -

c) Deferred tax assets (net)

2.12 89,569,029 85,201,948

d) Long term loans and advances

2.13 2,056,041,105 2,256,052,586

e) Other non current assets 2.14 624,972,003 2,824,334,732 717,602,595 3,108,839,730

41

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Particulars Note No. As at 31st March, 2012 As at 31st March, 2011

2 Current assets

a) Current investments 2.15 - -

b) Inventories 2.16 38,003,202,372 35,346,264,574

c) Trade receivables 2.17 1,615,907,775 595,382,533

d) Cash and bank balances 2.18 2,818,577,155 3,026,591,956

e) Short term loans and advances

2.19 2,604,441,597 1,867,071,706

f) Other current assets 2.20 12,087,188,041 57,129,316,940 11,780,107,222 52,615,417,991

TOTAL 59,953,651,672 55,724,257,721

Significant AccountingPolicies

1

Notes to accounts 2

Theaccountingpoliciesandnotesareanintegralpartofthefinancialstatements.

For and on behalf of board of directors

(Kumudani Sharma)Company Secretary

(A.K. Gupta)GeneralManager(Finance)

(A.K. Verma)Director (Finance)

(S P S Bakshi)Chairman-cumManagingDirector

This is the Balance Sheet referred to in our report of even date

For Satyendra Jain & AssociatesChartered Accountants

Firm Registration No.012018 N

CA Anil JainPlace : New Delhi PartnerDate : 11thSeptember2012 MembershipNo.072783

42

ProfIt AnD loss ACCount for the YeAr enDeD 31.03.2012

(Amount in ` )

Particulars Note No.

Year ended 31st March,

2012


2011

I. Revenue from operations 2.21 9,012,733,639 11,068,330,095

II. Other income 2.22 364,525,198 217,548,932

III. Total Revenue ( I+II) 9,377,258,837 11,285,879,027

IV. Expenses:

Operating Expenses 2.23 8,289,703,647 10,416,160,245

Change in inventories of work -in-progress 2.24 - -

Employeebenefitsexpenses 2.25 453,626,893 462,699,006

Finance costs 2.26 64,745,431 18,611,448

Depreciation & Amortisation expense 2.10 7,253,942 5,503,624

Other expenses 2.27 198,282,992 157,127,908

Total Expenses 9,013,612,905 11,060,102,231

V. Profit before exceptional and extraordinary items and tax (III-IV)

363,645,932 225,776,796

VI. Exceptional items - -

VII. Profit before extraordinary items and tax (V-VI) 363,645,932 225,776,796

VIII. Extraordinary items - -

IX. Profit/(Loss) before tax ( VII-VIII) 363,645,932 225,776,796

X Tax Expense

Current tax 125,040,742 78,000,000

Deffered tax (4,367,081) 1,623,944

Minimumalternatetaxcreditentitlement (1,698,418) (4,353,896)

XI. Profit for the year (IX-X) 244,670,689 150,506,748

43

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Particulars Note No.


2012


2011

XII. Earnings per share-Basic & Diluted 2.44 6.91 4.25

SignificantAccountingPolicies 1

Notes to accounts 2

Theaccountingpoliciesandnotesareanintegralpartofthefinancialstatements.

For and on behalf of board of directors





This is the Balance Sheet referred to in our report of even date

For Satyendra Jain & AssociatesChartered Accountants

Firm Registration No.012018 N

CA Anil JainPlace : New Delhi PartnerDate : 11thSeptember2012 MembershipNo.072783

44

PARTICULARS 2011-2012 2010-2011A. CASH FLOw FROM OPERATING ACTIVITIES

Net profit before tax 363,645,933 225,776,796Adjustments for:Depreciation and amortization 7,253,942 5,525,606Loss/(profit)onsaleofassets(net) 17,933 (134,062)Interest income excluding interest on FD’sInterest on FD’s (226,555,751) (103,543,512)Interest on inter corporate depositsIncome from investmentsProvision for impairmentFixedassets-lostinaccident/writtenoffProvision for diminution in value of investmentProvisionfordoubtfuldebts/advances/TDS/banksEffect of exchange differences on translation of foreign currencyCash & cash equivalentsOperating profit before working capital changesDecrease/(increase)ininventories 12,333,175 (8,154,936)Decrease/(increase)inworksinprogress (2,669,270,973) (9,543,719,437)Decrease/(increase)insundrydebtors (927,894,650) 13,335,298Decrease/(increase)inFD’sunderlien (158,041,556) 64,892,385Decrease/(increase)inotherassetsexcludinginterestaccruedonFD’sDecrease/(increase)inloans&advances 2,665,317,930 6,070,044,058Increase/(decrease)incurrentliabilities&provisions 617,406,818 4,090,563,793Cash generated from operationsIncome tax paid (129,440,795) (30,976,697)Net cash from operating activities

B. CASH FLOwS FROM INVESTING ACTIVITIESPurchase/constructionoffixedassets (11,303,046) (7,294,394)Proceeds from sale of assets 261,175 585,412Investments in sharesInvestments in bondsLoans to joint venture companyLoan received back from IRWOInterest income 161,058,884 99,192,500Interest on inter corporate depositsIncome from investmentsNET CASH FROM INVESTING ACTIVITIES

CAsh floW stAteMent for the YeAr enDeD 31.03.2012

(Amount in `)

45

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C. CASH FLOw FROM FINANCING ACTIVITIESDividend paid (70,845,376) (70,845,376)Dividend tax paid - (11,766,530)Net cash used in financing activitiesEffect of exchange differences on translation of foreign currencyCash & cash equivalentsNet(decrease)/increaseincashandcashequivalents (366,056,357) 793,480,904Cash and cash equivalents at the beginning of the year 2,823,189,327 2,029,708,423Cash and cash equivalents at the end of the year 2,457,132,970 2,823,189,327Reconciliation of cash and cash equivalentsCash in hand (refer note no 2.18) 110,998 86,720Cheques in hand (refer note no 2.18) 335,290,000 -“Balance with bank’s in current accounts (refer note no 2.18)” 250,347,329 162,641,067Balancewithotherbank’sfixeddepositesother(refernoteno2.18) 1,871,384,643 2,660,461,540Cash and cash equivalent 2,457,132,970 2,823,189,327Add: balance in deposit accounts (pledged) 361,444,185 203,402,629Cash and cash equivalents at the end of the year 2,818,577,155 3,026,591,956

“Note: cash and cash equivalents consist of cash and bank balances including FD’s, interest accrued and liquidinvestmentexcludingFD’sunderlien/margin.

For and on behalf of Board of Directors





This is the balance sheet referred to in our report of even date

For Satyendra Jain & Associates Chartered Accountants Firm Registration No.012018 N

CA Anil Jain Partner MembershipNo.072783

CAsh floW stAteMent for the YeAr enDeD 31.03.2012

(Amount in ` )

46

Note No. 1

sIgnIfICAnt ACCountIng PolICIes

1. Basis of accounting

a) The financial statements are prepared under historical cost convention, on accrual basis, inaccordance with the generally accepted accounting principles in India and to comply with the Accounting Standards prescribed in the Companies (Accounting Standards) Rules, 2006 issued by the Central Government in exercise of the power conferred under sub-section (I) (a) of section 642andtherelevantprovisionsoftheCompaniesAct,1956(the‘‘Act”).

b) AllAssetsandLiabilitieshavebeenclassifiedascurrentornon-currentasperthecriteriasetoutinthe Revised Schedule VI to the Companies Act, 1956. Based on the nature of operations and time within which the assets are expected to be realized in cash and cash equivalents, the company has ascertained its operating cycles as 12 months for the purpose of current and non-current classificationofassetsandliabilities.

2. use of estimates

The preparation of financial statements in conformity with generally accepted accounting principlesrequires management to make estimates and assumptions that affect the reported amounts of assets andliabilitiesandthedisclosureofcontingentassetsandliabilities,ifany,onthedateofthefinancialstatements and the results of operations during the reporting periods. Although these estimates are based upon management’s knowledge of current events and actions, actual results could differ from those estimates and revisions, if any, are recognized in the current and future periods.

3. revenue recognition

a) work done:

i) Work done for the year is arrived at by subtracting opening work-in-progress from accumulated work-in-progress for each contract. In respect of cases where ultimate collection with reasonable certainty is lacking at the time of claim, recognition is postponed till collection is made.

ii) Valuation of work-in-progress:

Work-in-progress is valued by taking cumulative actual costs incurred up to the end of the yearwithoutconsideringmiscellaneousincome,plusproportionateestimatedprofit,basedon contract cost reviewed at the end of each year allocated on “Percentage of Completion Method”.

iii) Attheyearend,worksexecutedbutnotmeasured/partlyexecutedareaccountedforbasedoncertificationofEngineers.

iv) Incaseofprojectsforeclosed/terminated,revenueisrecognisedonlytotheextentofcontractvalue of which recovery is probable.

v) Revenue from consultancy services is recognised on proportionate completion method. In respect of cases where ultimate collection with reasonable certainty is lacking at the time of claim, recognition is postponed till collection is made.

vi) In case of contracts where the contract costs exceed the contract revenues, anticipated loss is recognised immediately.

b) Escalation and extra works not provided for in the contract with client and insurance claims are accounted for on receipt basis.

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c) Liquidateddamagesarising fromcontractualobligations in respectof contractsunderdispute/negotiationandnotconsideredpayable/receivablearenotaccountedfortillfinalsettlement.

d) Interest income is recognized on time proportion basis taking into account the amount outstanding and rate applicable.

e) Revenue from rent is recognized on accrual basis, based on the lease agreements with the tenants except where the ultimate collection is considered doubtful.

4. Inventory

a) Construction materials, consumables and stores & spares excluding steel, cement and pipes are charged to contract cost at the time of purchase. Sale proceeds on account of disposal of such left out materials are accounted as miscellaneous income in the year of sale.

b) Stock of steel, cement and pipes are valued at lower of cost or net realisable value. Cost includes freight and other related incidental expenses and is arrived at on weighted average cost.

5. Thecontractisconsideredasclosedforaccountingpurposesuponfinalbilling,commissioningcertificate,commercialrun,foreclosureand/orterminationwhicheverisearlier.

Tillclosureofeachcontract,cumulativevalueof“Amountbilledtoclient”isshownunder‘othercurrentliabilities’andcumulativeamountofworkdoneisshownas"Work-in-progress"under‘Inventories’.

Onclosure/foreclosure/terminationofacontract“Amountbilledtoclient”issetoffagainstvalueof"work-in-progress".

6. foreign exchange transactions

Transactions in foreign currency and non-monetary assets are accounted for at the exchange rate prevailing on the date of the transaction. All monetary items denominated in foreign currency are converted at the year-end exchange rate.

The exchange differences arising on such conversion and on settlement of the transactions are dealt withintheprofitandlossaccount.

7. fixed assets and depreciation:

a) Fixed assets (gross block) are stated at historical cost. Cost comprises the purchase price and any attributable cost of bringing the asset to its working condition for its intended use.

b) Depreciationonfixedassetsiscalculatedaccordingtostraight-linemethodonpro-ratabasisand95%ofthecostiswrittenoffduringtheexpectedusefullifeofassets.Theconstructionequipmentand vehicles at project sites are depreciated over a period of five years based on technicalevaluation.Other fixedassetsaredepreciatedat the ratesestimatedby themanagement (asmentionedin‘e’below)whicharegreaterthanorequaltothecorrespondingratesprescribedinschedule XIV of the Companies Act, 1956.

c) Fixed asset costing ` 5,000 or less and mobile phones are fully depreciated in year of purchase.

d) Leaseholdbuildingareamortisedovertheperiodofleaseoroverthespecifiedperiodcalculatedas per the rates adopted by the Company which ever is shorter. Lease hold land under perpetual lease is not being amortised and are carried at cost.

e) The following rates of depreciation have been adopted on straight-line method and are being consistently followed over the years :-

48

Building 1.68%

Temporary construction 100.00%

Construction equipment 19.00%

Furnitureandfixtures 6.33%

Officeequipment 11.88%

Data processing machines and computers including softwares 47.50%

Mobilephone 100.00%

Vehicles 19.00%

The depreciation rates are indicative of the expected useful lives of assets.

8. Employeebenefits

Expenses and liabilities in respect of employee benefits are recorded in accordance with RevisedAccountingStandard15-EmployeeBenefitsofCompanies(AccountingStandards)Rules2006.

a) Provident fund

The Company’s contribution to the Provident Fund is remitted to separate trust established for this purposebasedonafixedpercentageoftheeligibleemployee’ssalaryandchargedtoProfitandLossAccount.Shortfall,ifany,inthefundassets,basedontheGovernmentspecifiedminimumrate,willbemadegoodbytheCompanyandchargedtoprofitandlossaccount.IntermsoftheGuidance on implementing the revised AS-15, of Companies (Accounting Standards) Rules 2006, theprovidentfundsetupbytheCompanyistreatedasadefinedbenefitplansincetheCompanyhas to meet the interest shortfall, if any.

b) Gratuity

Gratuity isapostemploymentbenefitand is in thenatureofdefinedbenefitplan.The liabilityrecognizedinthebalancesheetinrespectofgratuityisthepresentvalueofthedefinedbenefitobligation at the balance sheet date less the fair value of plan assets, together with adjustments forunrecognizedactuarialgainsorlossesandpastservicecosts.Thedefinedbenefitobligationis estimated annually by independent actuary using the projected unit credit method.

Actuarial gains and losses arising from past experience and changes in actuarial assumptions arecreditedorchargedtotheprofitandlossaccountintheyeartowhichsuchgainsorlossesrelate.

c) Compensated absences

Liability in respect of compensated absences becoming due or expected to be availed within one year from the balance sheet date is recognized on the basis of undiscounted value of estimated amountrequiredtobepaidorestimatedvalueofbenefitexpectedtobeavailedbytheemployees.Liability in respect of compensated absences becoming due or expected to be availed more than one year after the balance sheet date is estimated on the basis of actuarial valuation performed by an independent actuary using the projected unit credit method.

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Actuarial gains and losses arising from past experience and changes in actuarial assumptions arecreditedorchargedtotheprofitandlossaccountintheyeartowhichsuchgainsorlossesrelate.

d) Other short term benefits

Expenseinrespectofothershorttermbenefitsincludingperformanceawardsisrecognizedonthe basis of amount paid or payable for the period during which services are rendered by the employee.

9. Provisions, contingent liabilities and contingent assets

Provision is recognized when the Company has a present obligation as a result of a past event and it is probablethatanoutflowofresourceswouldberequiredtosettletheobligation,andinrespectofwhichareliable estimate can be made. Provisions are not discounted to their present value and are determined based on best estimates required to settle the obligation at the balance sheet date. Provisions are reviewedateachbalancesheetdateandareadjustedtoreflectthecurrentbestestimation.Acontingentliabilityisdisclosedunlessthepossibilityofanoutflowofresourcesembodyingtheeconomicbenefitsisremote.Contingentassetsareneitherrecognizednordisclosedinthefinancialstatements.

10. Impairment of assets

At each balance sheet date, the Company assesses whether there is any indication that an asset may be impaired. If any such indication exists, the Company estimates the recoverable amount of the asset. If such recoverable amount of the asset or the recoverable amount of the cash generating unit to which the asset belongs is less than its carrying amount, the carrying amount is reduced to its recoverable amountand the reduction is treatedasan impairment lossand is recognised in theprofit and lossaccount. If at the balance sheet date there is an indication that a previously assessed impairment loss nolongerexists,therecoverableamountisreassessedandtheassetisreflectedattherecoverableamountsubjecttoamaximumofdepreciatedhistoricalcostandisaccordinglyreversedintheprofitandloss account.

11. taxation

Provision for tax for the year comprises estimated current income-tax determined as higher of the amount oftaxpayable inrespectoftaxable incomefortheperiodortaxpayableonbookprofitcomputedinaccordance with the provisions of section 115JB of the Income tax Act, 1961 and deferred tax being the tax effect of temporary timing differences representing the difference between taxable and accounting income that originate in one period and are capable of reversal in one or more subsequent periods and is calculated in accordance with the relevant domestic tax laws.

Deferred tax is measured based on the tax rates and the tax laws enacted or substantively enacted as at the balance sheet date. Deferred tax assets are recognised only to the extent that there is reasonable certaintythatsufficientfuturetaxableincomewillbeavailableagainstwhichsuchdeferredtaxassetscan be realised. In respect of carry forward losses and unabsorbed depreciation, deferred tax assets arerecognisedonlytotheextentthereisvirtualcertaintythatsufficientfuturetaxableincomewillbeavailable against which such deferred tax assets can be realised.

MinimumAlternateTax(‘MAT’)paidinaccordancewiththetaxlaws,whichgivesrisetofutureeconomicbenefits in the formofadjustmentof future income tax liability, isconsideredasanasset if there isconvincing evidence that the Company will pay normal tax in the future. The Company reviews the same ateachbalancesheetdateandwritesdownthecarryingamountofMATcreditentitlementtotheextentthere is no longer convincing evidence to the effect that Company will be able to utilize that credit during thespecifiedperiod.

50

12. leases

Leasepaymentsunderoperatingleasesarerecognisedasexpenseintheprofitandlossaccountonstraight line basis over the lease term.

13. earning per share

Basicearningspershareiscalculatedbydividingthenetprofitorlossfortheperiodattributabletoequityshareholders (after deducting attributable taxes) by the weighted average number of equity shares outstanding during the period.

Forthepurposeofcalculatingdilutedearningspershare,thenetprofitorlossfortheperiodattributableto equity shareholders and the weighted average number of shares outstanding during the period are adjusted for the effects of all dilutive potential equity shares.

51

42nd


notes forMIng PArt of the fInAnCIAl stAteMents for the YeAr enDeD 31.03. 2012

Note No. 2.1

Share Capital

Particulars 2011 - 2012 2010 - 2011

Number Value Number Value

AUTHORISED

Equity Shares of ` 10/-Each 909,404,600 9,094,046,000 909,404,600 9,094,046,000

ISSUED, SUBSCRIBED AND FULLY PAID-UP

Equity Shares of ` 10/-EachFullyPaidUp

35,422,688 354,226,880 35,422,688 354,226,880

TOTAL 354,226,880 354,226,880

Note 2.1 A

Particulars 2011 - 2012 2010 - 2011

Number Value Number Value

RECONCILIATION OF NO. OF SHARES OUTSTANDING

At the beginning of the year 35,422,688 354,226,880 9,094,400 354,226,880

Add: Issued during the year (Increase due to change in face value of shares)

- - 26,328,288 -

Less: Brought Back - - - -

At the end of the year 35,422,688 354,226,880 35,422,688 354,226,880

Note 2.1 B

Particulars Number % of Holding Number % of Holding

NO. OF SHARES HELD BY EACH SHARE HOLDER HOLDING MORE THAN 5%

PresidentofIndiaactingthroughMinistryof Heavy Industry

35,415,677 99.98 35,415,677 99.98

(Amount in `)

52

Note 2.1 C

Particulars Number Value Number Value

NO. OF FULLY PAID-UP EQUITY SHARES ISSUED BY wAY OF BONUS SHARES

Fortheperiodoffiveyearsimmediatelypreceding the Balance Sheet Date

- -

Note No. 2.2

Reserve & Surplus(Amount in `)

Particulars 2011 - 2012 2010 - 2011 A) CAPITAL RESERVEAt the beginning of the year 210,020 210,020

210,020 210,020 B) GENERAL RESERVEAt the beginning of the year 111,500,000 96,500,000 Add: Addition during the year 20,000,000 15,000,000

131,500,000 111,500,000 C) SURPLUS IN THE STATEMENT OF PROFIT AND LOSS At the beginning of the year 1,139,033,193 1,085,864,713 Add:NetProfit/(Loss)fortheyear 244,670,689 150,506,746

Less: Proposed Dividend 70,845,376 70,845,376 Less: Dividend Distribution Tax 11,492,890 11,492,890 Less: Transfer to Reserves 20,000,000 15,000,000 Closing Balance 1,281,365,616 1,139,033,193

TOTAL 1,413,075,636 1,250,743,213

Note No. 2.3

Long Term Borrowings(Amount in `)

Particulars 2011 - 2012 2010 - 2011 Deposits - - Advance from related parties - - Other Loans & Advances - -

TOTAL - -

53

42nd


Note No. 2.4

Other Long Term Liabilities(Amount in `)

Particulars 2011 - 2012 2010 - 2011

Trade Payable

-Micro,Small&MediumEnterprises - -

- Others 88,151,728 71,528,581

Other Liabilities

-SecurityDeposit/EMDPayable 1,097,163,441 906,307,284

- Others 8,147,950 56,298

TOTAL 1,193,463,119 977,892,163

Note No. 2.5

Long Term Provisions(Amount in `)

Particulars 2011 - 2012 2010 - 2011

EmployeeBenefits 204,929,126 190,858,556

Others - -

TOTAL 204,929,126 190,858,556

Note No. 2.6

Short Term Borrowings(Amount in `)

Particulars 2011 - 2012 2010 - 2011

Deposits - -

Advance from related parties - -

Other Loans & Advances - -

TOTAL - -

Note No. 2.7

Trade Payables(Amount in `)

Particulars 2011 - 2012 2010 - 2011

Trade Payable

-Micro,Small&MediumEnterprises 304,855 2,082,926

- Others 2,366,365,446 2,241,589,391

TOTAL 2,366,670,301 2,243,672,317

54

AmountduetoentitiescoveredunderMicro,SmallandMediumEnterprisesasdefinedintheMicro,Small,MediumEnterprisesDevelopmentAct,2006,havebeenidentifiedonthebasisofconfirmationsreceivedfromtheseentitiesandinformationavailablewiththeCompany.Therewasnoamountdueformorethanfortyfivedayspayabletotheseidentifiedentitiesatanytimeduringtheyear.` 3,04,855/-isrelatedtoescalationbillwhich will be due after receipt of payment from client as per contract.

Note No. 2.8

Other Current Liabilities(Amount in `)

Particulars 2011 - 2012 2010 - 2011

Advance from clients 2,864,519,073 2,880,621,081

SecurityDeposit/EarnestMoney 520,281,715 713,494,854

Outstanding Liabilities 15,941,910 8,120,073

Amount Payable to others 11,564,908,344 11,099,878,616

Amount billed to client 39,037,959,731 35,624,314,368

Payable to Employees 30,131,282 28,205,066

Statutory liabilities 102,083,642 71,227,740

InterestPayabletoMicro,Small&MediumEnterprises 432,462 136,414

TOTAL 54,136,258,159 50,425,998,212

Note No. 2.9

Short Term Provisions(Amount in `)

Particulars 2011 - 2012 2010 - 2011

Taxation 151,667,893 127,151,435

Proposed dividend 70,845,376 70,845,376

Dividend tax on proposed dividend 22,985,780 11,492,890

Employeebenefits 36,679,776 70,540,049

Corporate social responsibility 2,849,626 836,630

TOTAL 285,028,451 280,866,380

55

42nd


Not

e N

o. 2

.10

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TOTA

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A

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31

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a) T

angi

ble

Ass

ets

Land

Fre

ehol

d -

- -

- La

nd L

ease

hold

1

,615

,856

1,

615,

856

- 1,

615,

856

1,61

5,85

6 B

uild

ing

Free

hold

4

,687

,325

-

- -

4,68

7,32

5 2,

002,

695

78,7

47

- -

2,08

1,44

2 2,

605,

883

2,68

4,63

0 B

uild

ing

Leas

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d 4

7,10

3,88

6 2,

506,

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- -

49,6

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01

17,9

48,4

33

809,

566

- -

18,7

57,9

99 3

0,85

2,10

2 29

,155

,453

C

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Equ

ipm

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2

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6,60

6 4,

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669

374,

822

422,

961

34,4

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35

25,7

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44 3

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,371

57

,934

39

7,05

6 28

,599

,393

5,

801,

742

3,98

3,46

2

OfficeAndOther

Equ

ipm

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1

5,07

4,45

9 98

4,20

1 11

,400

71

7,29

1 15

,352

,769

11

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,043

1,1

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57,9

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2,84

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Con

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42,9

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7 3,

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2,13

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9 -

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736

11,7

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7 52

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8,28

0,77

5 3,

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3,08

5,97

1 Ve

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83

32,0

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4 4

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,269

2,

733,

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443,

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409,

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2,76

8,09

0 1,

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2,13

4,01

2 Su

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159,

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730

9,17

7,95

0 38

6,22

2 5,

411,

288

163,

995,

613

111,

286,

492

6,17

3,47

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7,78

3 51

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48,

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386,

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5,41

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8 16

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1 5,

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168,

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Prev

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162,

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2,92

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3 49

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,601

56

Note No. 2.11

Non Current Investments(Amount in `)

Particulars 2011 - 2012 2010 - 2011

Trade Investments - -

Other Investments - -

TOTAL - -

Note No. 2.12

Deferred Tax Assets (Net)(Amount in `)

Particulars 2011 - 2012 2010 - 2011

Depreciationonfixedassets (8,039,174) (7,659,632)

Provision for doubtful debts, Security deposits/EMD,Advancesetc.

50,598,559 48,726,498

ProvisionforEmployeeBenefits 46,085,083 44,135,082

Provision for Corporate Social Responsibility

924,561 -

TOTAL 89,569,029 85,201,948

Note No. 2.13

Long term Loans and Advances(Unsecured, considered good unless stated otherwise) (Amount in `)

Particulars 2011 - 2012 2010 - 2011

Advance for works secured against Bank guarantee

331,421,266 430,887,676

Advance for works secured against Material

11,372,946 11,372,946

Other Advances 58,371,599 58,371,599

Less: Provision for doubtful advances 58,146,672 224,927 58,146,672 224,927

Staff Advances* 6,965,003 8,279,267

RetentionMoney 905,606,129 1,257,791,302

Less: Provision for doubtful recovery 38,294,206 867,311,923 39,395,706 1,218,395,596

Securitydeposit/EarnestMoney 26,893,073 33,981,407

Less: Provision for doubtful recovery 48,278 26,844,795 156,258 33,825,149

WorkContractTax/VAT 22,774,046 21,607,609

Advance Sales Tax 37,033,294 21,094,480

ITDS 326,199,811 246,724,540

57

42nd


Advance FBT 4,158,315 8,333,450

Advance Service Tax 3,826,358 -

Amount Recoverable - others 454,832,202 285,251,296

Less: Provision for doubtful recovery 36,923,781 417,908,421 29,944,350 255,306,946

TOTAL 2,056,041,105 2,256,052,586

*StaffAdvancesincludesadvancestoofficersamountingto` 1,167,185 (previous year ` 1,576,430)

Note No. 2.14

Other Non Current AssetsTrade Receivables(Unsecured considered good) (Amount in `)

Particulars 2011 - 2012 2010 - 2011

Debts outstanding for a period less than six months

- - - -

Debts outstanding for a period more than six months

647,510,858 740,141,450

Less: Provision for doubtful debts 22,538,855 624,972,003 22,538,855 717,602,595

TOTAL 624,972,003 717,602,595

Note No. 2.15

Current Investments (Amount in `)

Particulars 2011 - 2012 2010 - 2011

A) Trade (Unquoted) - at cost, Long Term Investments (in Shares) - -

B) Trade Current Investments - At Cost -

TOTAL - -

Note No. 2.16

Inventories (Amount in `)

Particulars 2011 - 2012 2010 - 2011

Materials** 5,949,623 18,282,798

Work in progress (Construction Project)

Opening Work-in-Progress 35,327,981,776 25,784,262,339

Add: Work done during the year 8,813,393,883 11,035,508,345

44,141,375,659 36,819,770,684

58

Add: Prior Period Adjustments - 1,653,820

44,141,375,659 36,821,424,504

Less: Project Completed 6,144,122,910 37,997,252,749 1,493,442,728 35,327,981,776

TOTAL 38,003,202,372 35,346,264,574

** Includes material held by associates amounting to ` 5,057,047 (previous year ` 17,390,222)

Note No. 2.17

Trade Receivables(Unsecured considered good) (Amount in `)

Particulars 2011 - 2012 2010 - 2011

Debts outstanding for a period less than six months

1,187,964,623

595,382,533

Debts outstanding for a period more than six months

427,943,152

1,615,907,775

-

TOTAL 1,615,907,775 595,382,533

Note No. 2.18

Cash and Bank Balances(Amount in `)

Particulars 2011 - 2012 2010 - 2011

a) Cash & Cash Equivalents

Cash in hand* 110,997 86,720

Cheques in hand 335,290,000 -

Balances with banks

-In current accounts 250,347,330 162,641,067

Fixed Deposit (with maturity upto 3 months)

455,000,000

1,040,748,327

1,217,781,476

1,380,509,263

b) Other Bank Balances

Fixed Deposits (Pledged against Marginmoney/EarnestMoney)

361,444,185 203,402,629

Fixed deposit (with maturity more than 3 months)

1,416,384,643 1,442,680,064

TOTAL 2,818,577,155 3,026,591,956

* Cash in Hand includes ` 673.00 (previous year ` 673.00) towards postage imprest.

59

42nd


Note No. 2.19

Short Term Loan & Advances(Unsecured, considered good unless stated otherwise) (Amount in `)

Particulars 2011 - 2012 2010 - 2011

Advance for works secured against material

557,570,626 145,783,405

Advance for works secured against BG 510,987,114 404,023,416

Others advances 1,002,116,252 2,070,673,992 936,049,840 1,485,856,661

Staff advances* 4,897,333 3,720,133

Securitydeposit/EarnestMoney 517,341,109 313,119,787

Minmumalternatetaxcreditentitlement 7,898,272 56,758,614

Other loans & advances

- Prepaid Expeneses 3,590,961 7,576,581

- Others advances 39,930 39,930

TOTAL 2,604,441,597 1,867,071,706

*StaffAdvancesincludesadvancestoOfficersamountingto` 409,545 (previous year ` 298,156)

Note No. 2.20

Other Current Assets(Amount in `)

Particulars 2011 - 2012 2010 - 2011

Interest accrued but not due on bank deposits

91,162,729 25,665,861

Recoverable from Others 11,996,025,312 11,754,441,361

TOTAL 12,087,188,041 11,780,107,222

Note No. 2.21

Revenue From Operations(Amount in `)

Particulars 2011 - 2012 2010 - 2011

Value of work done 8,813,393,882 11,035,508,344

Consultancy fee 845,334 1,363,716

Other operating income (claims received) 198,494,423 31,458,035

TOTAL 9,012,733,639 11,068,330,095

60

Note No. 2.22

Other Income(Amount in `)

Particulars 2011 - 2012 2010 - 2011

Interest Income earned on

Deposits with bank 226,555,751 103,543,512

Staff Advances 835,880 784,828

Other(Fromsubcontractor/clients) 98,918,905 326,310,536 41,025,593 145,353,933

Other non-operating income

UnspentLiabilities/balanceswrittenback 14,126,108 27,469,998

Miscellaneousincome 24,088,554 38,214,662 44,725,001 72,194,999

TOTAL 364,525,198 217,548,932

Note No. 2.23

Operating Expenses(Amount in `)

Particulars 2011 - 2012 2010 - 2011

Civil, mechanical and electrical jobs including imported equipment 8,035,484,460 10,283,770,987

Design and consultancy charges 49,400,107 22,387,372

Other direct expenses 71,346,287 92,472,154

Claims paid 126,756,596 8,142,804

Royalty 404,447 293,434

Liquidated damages 6,311,750 9,093,494

TOTAL 8,289,703,647 10,416,160,245

Note No. 2.24

Change in Inventories of work in progress(Amount in `)

Particulars 2011 - 2012 2010 - 2011

Work-in-Progress - -

TOTAL - -

61

42nd


Note No. 2.25

Employee Benefits Expenses(Amount in `)

Particulars 2011 - 2012 2010 - 2011

Salaries 327,048,635 294,797,408

Contribution to provident fund & other funds 37,791,225 46,976,695

MedicalExpenses 33,308,281 30,681,419

Rajbhasha Expenses 705,772 557,336

Leave Encashment 28,659,806 33,328,941

Gratuity 7,209,592 40,312,381

Staff welfare expenses 18,903,582 16,044,826

TOTAL 453,626,893 462,699,006

Note No. 2.26

Finance Cost(Amount in `)

Particulars 2011 - 2012 2010 - 2011

Interest-Bank 1,398,545 194,559

Interest-Others 63,346,886 18,416,889

TOTAL 64,745,431 18,611,448

Note No. 2.27

Other Expenses(Amount in `)

Particulars 2011 - 2012 2010 - 2011 Printing & stationary 5,481,410 4,520,124

Gift & Donation - 3,997

Rates & taxes 2,980,558 2,292,521

Postage & telecommunication 6,202,946 6,667,222

OfficeRepair&Maintenance 40,187,938 29,234,551

Repair&Maintenance(F.Assets) 649,977 458,683

Repairs to building 1,138,626 1,423,607

Water Power and fuel charges 9,165,740 8,516,407

Tendering expenses 3,826,730 3,191,033

Advertisement and publicity 3,396,840 3,530,241

62

Particulars 2011 - 2012 2010 - 2011

Legal and professional charges 23,533,775 16,645,223

Insurance 833,272 918,279

Entertainment 1,563,786 1,574,992

Bank charges 11,679,895 11,621,383

Vehicle running and maintenance 2,345,180 3,321,559

ManpowerDevelopment 836,593 515,635

Lossonsaleoffixedassets 84,371 255,514

Sponsorship fee 1,479,709 162,875

TravelIing & other incidental expenses 46,748,325 44,766,542

Corporate Social Responsibility 4,515,000 2,000,000

Research & Development 400,000 -

Auditor’s Remuneration 1,202,705 1,116,950

Business Promotion 1,804,397 1,397,610

Rent(Office) 4,403,530 4,394,822

Computer Expenses 3,183,187 3,072,421

Membership&Subscriptionfee 758,382 852,853

Filing & Registration fee 66,097 34,777

Amounts written off 2,577,513 -

Doubtful advances written off 8,534,794 -

MiscellaneousExpenses 2,766,788 4,141,630

Prior Period Adjustments (Net) 5,934,928 496,458

TOTAL 198,282,992 157,127,908

Travelling and other incidental expenses includes ̀ 8,274,705 towards site living hardship expenses (previous year ` 8,169,310) and travelling expenses of directors ` 1,574,517 (previous year ` 1,329,666)

Auditor’s Remuneration(Amount in `)

Particulars 2011 - 2012 2010 - 2011 As auditors 617,465 551,500

For tax audit 185,240 165,450

Other expenses 400,000 400,000

TOTAL 1,202,705 1,116,950

63

42nd


Prior Period Adjustments (Net)(Amount in `)

Particulars 2011 - 2012 2010 - 2011 Legal & Professional 258,050 58,200

Employee’s cost 421,748 265,146

Other 5,255,130 173,112

TOTAL 5,934,928 496,458

Note No. 2.28

ContIngent lIABIlItIes

Contingent Liabilities As on 31.03.12(` )

As on 31.03.11(` )

1 In respect of legal and Arbitration

a

Claims pending for adjudication, amount thereof has been taken wherever quantified or reasonablyascertainable

6,217,847,860 6,297,795,970

bIn respect of cases where awards are published in favour of company but defendants have gone to appeal.

203,300,000 Nil

2 In respect of Indemnity bonds issued to Clients 861,373,158 360,256,189

3

In respect of Sales Tax/WorksContract Tax demand in respect of completed assessments under dispute/appeals

37,359,535 46,844,733

Note No. 2.29

The amount of ` 6,816,600 (previous year ` 8,027,655) deposited with Sales Tax Authorities shown under the head. “Advance Sales Tax” is pending for adjustment for want of respective assessment orders.

Note No. 2.30

Company had let out its premises at SCOPE Building to National Thermal Power Corporation (one of thePSUs),whichvacatedpremisesduringFebruary2002andleftsomefurnitureandfixtureamountingto ` 4,605,400 (previous year ` 4,605,400). Itwas agreed that cost of left out furniture and fixturewould be paid at mutually agreed price. The PSU has retained an amount of ` 4,913,684 (previous year ` 4,913,684) on account of rent payable against which provision has been made by the company. Pending settlement of issue, capitalisation and consequential depreciation has not been recorded in the accounts.

64

Note No. 2.31

Expenditure in foreign currency:

Sl. No. Particulars As on 31.03.12

(` )As on 31.03.11

(` )

1 Foreign travel 705,575 618,186

2 Advertisement and publicity - 19,211

Note No. 2.32

a) ConveyancedeedsinrespectofbuildingatScopeComplex,NewDelhiincludedinfixedassetsat a cost of ` 37,441,925 (previous year ` 37,441,925) is pending for execution in the name of Company. Liability, if any, on account of execution of conveyance deeds would be provided in the year of its registration.

b) Company has availed non fund based credit limits from banks without any security (Previous year thefacilitywasavailedagainstpledgeoffixeddepositsamountingto` 141,615,685 and equitable mortgageofofficebuildingamountingto` 37,441,925 at Scope Complex, New Delhi).

c) Company is having fund based credit limits of ` 320,000,000 (previous year ` 90,000,000) from various banks against pledge of fixed deposits amounting to ` 320,000,000 (previous year ` 40,000,000).

d) Companyhaspledgedfixeddepositsamountingto` 41,444,185 (previous year ` 21,786,944) withclients/othersonaccountofearnestmoneydeposit/securitydeposit.

Note No. 2.33

The Company is engaged in the business of construction activities, which as per Accounting Standard 17 on “Segment Reporting” of the Companies (Accounting Standards) Rules 2006, is considered to be the only reportable business segment. The Company is operating in India which is considered as a single geographical segment.

Note No. 2.34

Disclosure pursuant to requirements of Accounting Standard 7 “Construction Contracts” of Companies (Accounting Standards) Rules 2006.

S. No.

Particulars (Amount in ` )

As on 31.03.12 As on 31.03.11

1 Revenue from operations 9,012,733,639 11,035,508,344

2 Contract costs incurred and profitrecognised upto the reporting date

37,997,252,748 35,327,981,776

3 Advances received 2,864,519,073 2,880,621,081

4 Gross amount due from customers for contract work- presented as an asset

39,586,871 507,837,093

5 Gross amount due to customers for contractwork–presentedasaliability

1,080,293,854 804,169,685

6 Retention money payable 1,552,459,968 1,566,691,520

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Note No. 2.35

Employee benefits: Thecompanyhasclassifiedvariousemployeebenefitsasunder:

a) Contribution to Provident Fund ` 30,738,675 (previous year ` 34,525,488) has been charged toProfitandLossAccount.Further,thefundhasinterestshortfallof` 6,982,020 (previous year ` 12,451,206)fortheyearwhichhasbeenchargedtoProfitandLossAccount.

b) The company also provides for gratuity, long term compensated absences, post retirement medical benefits,leavetravelconcessionandLongserviceawardonactuarialbasis.

(A) Changes in defined benefit obligation (2011-12) (Amount in `)

Particulars Gratuity Long term compensated

absences

Long service award

Post retirement medical benefit

Leave travel concession

(Funded) (Un-funded) (Un-funded) (Un-funded) (Un-funded)

Definedbenefitobligationas at 01 April 2011 163,213,963 140,570,563 5,543,555 70,532,735 4,439,371

Current service cost 7,285,907 8,624,049 378,858 1,379,404 2,460,068

Interest cost 13,873,187 11,948,498 471,202 5,995,282 377,347

Past service cost - - - - -

Settlement cost/(credit)benefitspaid (21,701,190) (23,232,340) (765,296) (6,501,826) (2,568,993)

Actuarial (gain)/loss onobligations (1,044,984) 8,087,259 1,831,415 4,882,221 (54,162)

Definedbenefitobligationasat31March2012 161,626,883 145,998,029 7,459,734 76,287,816 4,653,731

(A) Changes in defined benefit obligation (2010-11)(Amount in ` )


absences

Long service award

Post retirement

medical benefit



Definedbenefitobligation as at 1 April 2010 155,298,094 139,577,629 4,691,690 65,741,099 4,521,959


Interest cost 13,200,338 11,864,098 398,794 5,587,993 384,367

Past service cost 81,096,978 - - - -

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absences

Long service award

Post retirement

medical benefit


Settlementcost/(credit)benefitspaid (44,867,861) (32,336,007) (592,860) (4,710,292) (1,454,984)

Actuarial(gain)/losson obligations (48,528,489) 14,294,600 889,709 2,555,752 (1,288,458)

Definedbenefitobligation as at 31 March2011 163,213,963 140,570,563 5,543,555 70,532,735 4,439,371

(B) Changes in the fair value of gratuity (plan assets - funded scheme)(Amount in `)

Particulars 2011-12 2010-11

(Funded) (Funded)

Fair value of plan assets as at 1 April 2011 122,901,582 146,684,947

Expected actual return on plan assets 12,904,518 11,734,796

Actuarialgains/(losses) 1,351,769 736,553

Contributions 40,312,381 8,613,147

Benefitspaid (21,701,190) (44,867,861)

Fairvalueofplanassetsasat31March2012 154,417,291 122,901,582

(C) Amount recognized in the Balance Sheet (2011-12)(Amount in ` )


absences

Long service award

Post retirement

medical benefit



Definedbenefitobligation as at 31 March2012 161,626,883 145,998,029 7,459,734 76,287,816 4,653,731

Fair value of plan assetsasat31March2012 154,417,291 - - - -

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absences

Long service award

Post retirement

medical benefit


Amount not recognized as an asset [limit in Para 59 (b)] - - - - -

Liability/(asset)recognized in balance sheet 161,626,883 145,998,029 7,459,734 76,287,816 4,653,731

Included in current liabilities and provisions 161,626,883 145,998,029 7,459,734 76,287,816 4,653,731

(C) Amount recognized in the Balance Sheet (2010-11)(Amount in ` )


absences

Long service award

Post retirement

medical benefit



Definedbenefitobligationasat31March2011 163,213,963 140,570,563 5,543,555 70,532,735 4,439,371

Fair value of plan assets asat31March2011 122,901,582 - - - -

Amount not recognized as an asset [limit in Para 59 (b)] - - - - -

Liability/(asset)recognized in balance sheet 163,213,963 140,570,563 5,543,555 70,532,735 4,439,371

Included in current liabilities and provisions 163,213,963 140,570,563 5,543,555 70,532,735 4,439,371

(D) Expenses recognized in the Profit and Loss Account (2011-12)(Amount in ` )


absences

Long service award

Post retirement

medical benefit




Past service cost - - - - -

Interest cost 13,873,187 11,948,498 471,202 5,995,282 377,347

Expected return on plan assets (11,552,749) - - - -

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absences

Long service award

Post retirement

medical benefit


Curtailment/settlementcost/(credit) - - - - -

Netactuarial(gain)/loss recognized in the period (2,396,753) 8,087,259 1,831,415 4,882,221 (54,162)

Effect of the limit in para 59(b) of Accounting Standard 15 (Revised 2005) - - - - -

One year renewable term assurance (OYRTA) premium - - - - -

Total expenses recognizedintheProfitand Loss Account 7,209,592 28,659,806 2,681,475 12,256,907 2,783,253

(D) Expenses recognized in the Profit and Loss Account (2010-11)(Amount in ` )


absences

Long service award





Past service cost 81,096,978 - - - -

Interest cost 13,200,338 11,864,098 398,794 5,587,993 384,367

Expected return on plan assets (11,734,796) - - - -

Curtailment/settlementcost/(credit) - - - - -

Netactuarial(gain)/lossrecognized in the period (49,265,042) 14,294,600 889,709 2,555,752 (1,288,458)

Effect of the limit in para 59(b) of Accounting Standard 15 (Revised 2005) - - - - -

One year renewable term assurance (OYRTA) premium - - - - -

Total expenses recognized in theProfitandLossAccount 40,312,381 33,328,941 1,444,725 9,501,928 1,372,396

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For determination of the employee benefits liability of the Company, the following actuarial assumptions were used (2011-12)

Gratuity Long term compensated

absences

Long service award



Discount rate 8.50% 8.50% 8.50% 8.50% 8.50%

Rate of increase in compensation levels

5.00% 5.00% 5.00% 5.00% 5.00%

For determination of the employee benefits liability of the Company, the following actuarial assumptions were used (2010-11)

Gratuity Long term compensated

absences

Long service award



Discount rate 8.50% 8.50% 8.50% 8.50% 8.50%

Rate of increase in compensation levels

5.00% 5.00% 5.00% 5.00% 5.00%

Note No. 2.36

Related party disclosures

In accordance with Accounting Standard-18 “Related Party Disclosures” of the Companies (Accounting Standards) Rules 2006, the names of related parties along with aggregate amount of transactions and yearendbalanceswiththemasidentifiedandcertifiedbythemanagementaregivenasfollows-

i) KeyManagementPersonnelwithwhomtheirweretransactionsduringtheyear: ShriS.P.S.Bakshi,Chairman-cum-ManagingDirector ShriA.K.Verma,Director(Finance) Shri Vinoo Gopal, Director (Projects) (w.e.f. 2nd January 2012) ShriAKRatwani,Director(Projects)(till31st August 2011) ShriK.S.Rao,Director

ii) The following transaction were carried out with related parties in ordinary course of business :

(Amount in ` )

2012 2011

Salary 3,905,992 5,052,253

House rent 1,386,101 1,080,076

Medicalexpenses 170,494 205,300

Contribution to provident fund 416,346 493,141

Sitting fees 87,500 22,000

Chairman-cum-Managing Director and whole time Directors are allowed to use the company’s carfor non-duty journey upto 1,000 km per month on payment of ` 780/` 520/` 490/` 325. Gratuity and compensated absences are also payable as per the Rules of the company.

70

Note No. 2.37

Quantitative details for the stock of construction material as on 31stMarcharegivenbelow:

31 March 2012 31 March 2011

Quantity Value (` ) Quantity Value (` )

Steel pipe 352.85RM 892,576 352.85RM 892,576

Steel 139.178MT 5,057,047 530.902MT 17,390,222

Note No. 2.38

Lease rental expenses under the cancellable operating leases amounting to ` 4,403,530 (previous year ` 4,394,822)fortheyearhasbeenchargedtoprofitandlossaccount.

Note No. 2.39

AmountduetoentitiescoveredunderMicro,SmallandMediumEnterprisesasdefinedintheMicro,Small,MediumEnterprisesDevelopmentAct,2006,havebeenidentifiedonthebasisofconfirmationsreceived from these entities and information available with the Company. There was no amount due for morethanfortyfivedayspayabletotheseidentifiedentitiesatanytimeduringtheyearexceptdisclosedinNoteNo.2.7ofthefinancialstatements.

Note No. 2.40

There are no other items requiring disclosure pursuant to Para 4-C and Para 4-D of part II of Schedule VI of the Companies Act, 1956.

Note No. 2.41

CompanyisintheprocessofdisinvestmentofitsequityvidedirectionfromMinistryofHeavyIndustriesandPublicEnterprises,DepartmentofHeavy Industry letterNo.F,No.16 (1)/2010-TSWdated10thJune 2010. Pending disinvestment the following actions have already been taken:

1) AmendmentintheMemorandumandArticlesofAssociationofthecompanyforconvertingEPIinto a Public Limited Company;

2) Splitting of its equity shares in the denomination of ` 10/-eachfromthepresentvalueof` 38.95 each (which is the precondition for listing of the company with stock exchange);

3) Dematerialize equity shares of the company as the same are in physical form at present; and

4) Reducing the contingent liabilities of EPI in order to fetch better market price for the shares of EPI.

Note No. 2.42

Movement in Provisions (Current & Non-Current)(` ) in Lacs

Particulars Opening Balance

Provision made during the year

Paid during the year

Provision written back Closing Balance

(i) (ii) (iii) (iv) (v) (vi)=(ii+iii-iv-v)

Taxation 1200.20 1250.41 969.59 - 1481.02

Dividend 708.45 708.45 708.45 - 708.45

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Particulars Opening Balance

Provision made during the year

Paid during the year

Provision written back Closing Balance

(i) (ii) (iii) (iv) (v) (vi)=(ii+iii-iv-v)

Dividend tax 114.93 114.93 - - 229.86

FringeBenefittax 71.31 - 35.66 - 35.65

CSR 8.37 28.50 8.37 - 28.50

Project Contingencies 1501.82 85.35 - 27.65 1559.52

EmployeeBenefits 2613.99 437.55 635.45 - 2416.09

Total 6219.07 2625.19 2357.52 27.65 6459.09

Previous Year 5422.60 2403.77 1604.93 2.37 6219.07

Note No. 2.43

Managementhasmadeanassessmentandfoundthatthereisnoimpairmentinthevalueoffixedassets.

Note No. 2.44

Basicanddilutedearningpersharearecomputedbydividingnetprofitaftertax` 244,670,690 (previous year ` 150,506,748) by 35,422,688 fully paid up equity share of ` 10 each.

2011-12 2010-11

Basic and diluted earning per share (` ) 6.91 4.25

Note No. 2.45

TheFinancial statements for theyearended31stMarch2012arepreparedasperRevisedScheduleVIofCompaniesAct1956.Accordingly,thepreviousyearfigureshavealsobeenreclassifiedtoconformwithcurrentyear’sclassification.TheadoptionofRevisedScheduleVIforpreviousyearfiguresdoesnotimpactrecognitionandmeasurementprinciplefollowedforpreparationoffinancialstatements.

For and on behalf of Board of Directors





For Satyendra Jain & Associates Chartered Accountants Firm Registration No. 012018 N

Place : New Delhi CA Anil JainDated : 11 September 2012 Partner MembershipNo.072783

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CoMMents of the CoMPtroller AnD AuDItor generAl of InDIA unDer seCtIon 619(4) of the CoMPAnIes ACt, 1956 on the ACCounts of engIneerIng ProJeCts (InDIA) lIMIteD for the YeAr enDeD 31st MArCh 2012

ThepreparationoffinancialstatementsofEngineering Projects (India) Limited for the year ended 31st March2012inaccordancewiththefinancialreportingframeworkprescribedundertheCompaniesAct,1956is the responsibility of the management of the Company. The Statutory Auditors appointed by the Comptroller and Auditor General of India under Section 619(2) of the Companies Act, 1956 are responsible for expressing opiniononthesefinancialstatementsunderSection227oftheCompaniesAct,1956basedonindependentaudit in accordance with the Auditing and Assurance Standards prescribed by their professional body, the Institute of Chartered Accountants of India. This is stated to have been done by them vide their Audit Report dated 11 September 2012.

I, on behalf of the Comptroller and Auditor General of India, have conducted a supplementary audit under Section619(3)(b)oftheCompaniesAct,1956ofthefinancialstatementsofEngineering Projects (India) Limitedfortheyearended31stMarch2012.Thissupplementaryaudithasbeencarriedoutindependentlywithout access to the working papers of the Statutory Auditors and is limited primarily to inquiries of the Statutory Auditors and Company personnel and a selective examination of some of the accounting records. Onthebasisofmyauditnothingsignificanthascometomyknowledgewhichwouldgiverisetoanycommentupon or supplement to Statutory Auditor’s report under Section 619(4) of the Companies Act, 1956.

For and on behalf of the Comptroller and Auditor General of India

Place : New Delhi (Ila Singh) Principal Director of Commercial AuditDated : 28 September 2012 & ex-officio Member, Audit Board-I, New Delhi

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